I just sold 2 CSX May08 60 Puts in an IRA account for a deposit of 260.50 and an annualized return of 36.93%.

I also have 2 CSX May08 45 Puts in my taxable account that I rolled out last November.  I’ve been selling Puts in CSX since April 2007 (but not recently) with a total income of $1738 so far.  As I look back at my history I see that most of the transactions have been rolling the $45 put out to keep from owning the stock.  In retrospect it might have been better let the stock be put to me and then rolled out, and potentially up, the covered calls.  I would have also collected $114 in dividends during that time.

I sold this option based upon a recommendation from one of my advisory services that I received last night.  The railroads in general have been getting good press and favorable coverage on CNBC.  The major drivers seem to be the transportation of coal and agricultural related products such as fertilizers and the resulting crops, all of which are booming and are expected to continue to boom.