We were assigned shares of Apple (AAPL) and Marvell Technology Group (MRVL) on Friday. I am recommending calls to sell against those shares today, which will lower our cost basis on the positions.
Currently, I am targeting breakeven for these positions, but that may change especially with AAPL.
Note that these trades are only for members who already own shares uncovered from previous recommendations.
AAPL Uncovered Shares
Current Stock Price: $125.92
Cost Basis: $133.59
Action: Sell to open the AAPL Mar Week Two (3/12) 130 Call
Current Option Price: $1.22-$1.23
Recommended Limit: Set your initial limit order at $1.22, but adjust as needed to sell a call today
New Cost Basis: $132.37
Expiration: After the close on Friday, March 12
Potential Rate of Return: I am targeting breakeven for this position
MRVL Uncovered Shares
Current Stock Price: $48.89
Cost Basis: $51.50
Action: Sell to open the MRVL Mar Week Two (3/12) 50 Call
Current Option Price: $1.60-$1.96
Recommended Limit: Set your initial limit order at $1.78, but adjust as needed to sell a call today
New Cost Basis: $49.72
Expiration: After the close on Friday, March 12
Potential Rate of Return: I am targeting breakeven for this position