Pfizer (PFE) is holding up amid this week’s broader market sell-off but has still been unable to punch through $35. I am recommending a call to sell against our uncovered shares to lower our cost basis. Current Stock Price: $34.20 Cost Basis: $37.57 Action: Sell to open the PFE Mar Monthly (3/19) 35 Call for…
We have positions in Chewy (CHWY), CVS Health (CVS) and D.R. Horton (DHI) expiring today. Our CHWY and DHI puts are well in the money, so I am recommending we accept shares. We will sell calls against those shares soon. And I am recommending we roll our CVS call out one week and to a…
I am recommending we roll our S&P 500 (SPX) hedges to lower strikes to pocket cash while keeping our hedges in place. If you are not currently in a hedged position and want to initiate one today, you can do so. Just be aware that we are tracking these as ongoing positions. If you are…
The market has been choppy lately with a downward bias due to concerns about interest rates and the spillover of those concerns from bond to equity markets. Fed Chair Jerome Powell said in his speech today that the economic reopening could cause inflation, but he also said the price increases likely would not be enough…
Below are the trades from today’s Income Masters Live Trading Session. TRADE ONE: Sell to open the Chewy (CHWY) Mar Week One (3/5) 90 Put for around $1.34. You can go as low as $1.15, but please don’t start there and always use limit orders. (Current stock price: $92.70) TRADE TWO: Sell to open the…
Let’s book profits on our Corning (GLW), Starbucks (SBUX) and SPDR S&P Biotech ETF (XBI) put positions. GLW Mar Week One (3/5) 37.50 Put Current Stock Price: $38.94 Cash in Hand: $0.62 Action: Buy to close the GLW Mar Week One (3/5) 37.50 Put for around $0.09 Profit: $0.53, or $53 per contract SBUX Mar…
We have positions in Bank of America (BAC), D.R. Horton (DHI), QuantumScape (QS) and SPDR S&P Biotech ETF (XBI) expiring today. Let’s close BAC now to book profits. I am recommending we roll our DHI and XBI puts out one week to buy time for the underlying securities to move higher. Finally, our QS put…
Both Lululemon Athletica (LULU) and Peloton Interactive (PTON) have been hit hard in the past two weeks. I am recommending we roll our spreads down and out to the March monthly expiration. LULU Feb Week Four (2/26) 310/300 Put Spread Current Stock Price: $306.42 Net Debit: $4.54 Action: Buy to close the LULU Feb Week…
Let’s roll our S&P 500 (SPX) put to a lower strike to pocket some cash while keeping our hedge in place. No action is needed on the SPX Mar Monthly (3/19) 3300/3250 Put Spread at this time. If you are not currently in a hedged position and want to initiate one today, you can buy…
Below are the trades from today’s Income Masters Live Trading Session. TRADE ONE: Sell to open the Corning (GLW) Mar Week One (3/5) 37.50 Put for around $0.62. You can go as low as $0.52, but please don’t start there and always use limit orders. (Current stock price: $37.86) TRADE TWO: Sell to open the…
