Our iShares Global Clean Energy ETF (ICLN), Marvell Technology Group (MRVL) and Micron Technology (MU) calls are all in the money.
I am recommending we roll these positions out two weeks and to higher strikes. We will be spending a bit of cash to do so, but that will be more than offset by the appreciation potential we are capturing with the rolls.
ICLN May Week Four (5/28) 22.50 Call
Current Stock Price: $22.81
Cost Basis: $23.53
Action:
- Buy to close the ICLN May Week Four (5/28) 22.50 Call for around $0.35
- Sell to open the ICLN Jun Week Two (6/11) 23 Call for around $0.35
- Set your initial credit limit at $0, but adjust as needed to roll today
New Cost Basis: $23.53
Expiration: After the close on Friday, June 11
Potential Rate of Return: I am targeting breakeven for this position
MRVL May Week Four (5/28) 45 Call
Current Stock Price: $48.20
Cost Basis: $50.87
Action:
- Buy to close the MRVL May Week Four (5/28) 45 Call for around $3.20
- Sell to open the MRVL Jun Week Two (6/11) 46 Call for around $3.05
- Set your initial debit limit at $0.15, but adjust as needed to roll today
New Cost Basis: $51.02
Expiration: After the close on Friday, June 11
Potential Rate of Return: I am targeting breakeven for this position
MU May Week Four (5/28) 81 Call
Current Stock Price: $83.66
Cost Basis: $86.23
Action:
- Buy to close the MU May Week Four (5/28) 81 Call for around $2.83
- Sell to open the MU Jun Week Two (6/11) 83 Call for around $2.71
- Set your initial debit limit at $0.12, but adjust as needed to roll today
New Cost Basis: $86.35
Expiration: After the close on Friday, June 11
Potential Rate of Return: I am targeting breakeven for this position