November 2nd, 2008 at 2:29 pm
I sold 2 YHOO Nov08 21 Covered Calls on 10/21/08 for a net deposit of $130.50 in an IRA account. My basis for these YHOO shares is now 23.51.
I sold 4 YHOO Nov08 15 Covered Calls on 10/22/08 for a net deposit of $209.00 in my taxable account. My basis for these YHOO shares is now 23.44.
YHOO continues to mystify and at the same time entice me. I originally got involved with YHOO when it looked all but certain that MFST would acquire it. Then of course YHOO management, for whatever reason, screwed it up. Or, maybe MSFT screwed it up. In any case, the acquisition hasn’t happened yet. There is still some commentary that it might still happen though.
There is enough volatility that I may still make out with the options though. That is unless something comes out of nowhere and causes YHOO rise so fast that I cannot effectively roll out and up.
October 17th, 2008 at 11:33 am
On 10/15/08, I was assigned 4 YHOO Jan09 27.50 Puts, 2 each in my taxable account and an IRA account. As of the assignment my basis was 25.20 and 25.25 respectively.
By now I was back at my computer. I sold 2 YHOO Oct08 12.50 Covered Calls for a net deposit of $102.50 in the IRA account. I decided to sit on the 200 YHOO shares in my taxable account until after OCT08 options expired in case I got another margin call (which I did…more on that later).
My basis on the 200 YHOO in the IRA was 24.74 after selling the Oct08 calls.
Then, on 10/16, Steve Balmer of MSFT said that the purchase of YHOO still made sense to him. Of course YHOO started to go back up. I just love(?) these random events. So, I went to my computer and BTC the 2 YHOO Oct08 Calls that I had sold the previous day and STO 2 YHOO Nov08 15 Covered Calls for a net deposit of $119.01 in my IRA account. My basis on these 200 YHOO shares is now 24.15. I am still underwater here so will look to roll it out and up if possible if YHOO rises above $15.
September 29th, 2008 at 6:09 pm
On Monday, 9/22/08, I sold the following Covered Calls for a net deposit of $1049.50 in my taxable and various IRA accounts.
10 AUY Oct08 12 - My basis varies from 6.24 to 11.50 for these shares.
4 DF Oct08 25 - My basis is 33.48 for 200 and 34.28 for the other 200 shares. I don’t expect these will exceed the strike price but will roll out if they do.
2 GOL Jan09 10 - My basis is 24.12 for these shares. I sold to far out so that I could get a little more premium without the strike being too close in because I don’t want this called away just yet.
2 TIE Oct08 15 - My basis is 29.21 for these shares. I doubt that TIE will get to 15 but I will roll these out if it does.
2 VCLK Oct08 12.50 - My basis is 22.95 for these shares. I will roll these out if VCLK exceeds the strike price.
4 YHOO Oct08 21.00 - My basis is 22.73 for 200 and 24.16 for the other 200 shares. I will roll these out if, by some chance, YHOO is exceeding the strike price as we near expiration.
2 CCJ Oct08 30.00 - My basis is 35.25 for these shares. I will roll these out if CCJ exceeds the strike price as we near expiration.
2 AA Oct08 32.50 - My basis is 28.64 for these shares. I will probably roll them out if AA exceeds the strike price as we near expiration. AA pays a dividend and is a raw material producer so I have a tendancy to want to hold on to it.
And that is all for Monday’s trades.
