04-22-2020, 08:28 PM
So, along with today's buying spree in equities, I sold covered calls (weeklies, at most out to May 15) against a number of the added lots. $747.20 in option premium for covered calls sold against new purchases of ADM, EMR, LEG, NNN, NUE, O, ORCL, PFE, SON, TD, VFC, and VZ, with 5-10% gains on the underlying shares if I get called away.
Learned that the options market for BIP is too illiquid (massive bid/ask spreads and thinly traded) to mess with them. Also, premiums for WBA weeklies are pathetic, so I didn't bother.
Only playing this game with newly acquired lots of shares, but fun experiment so far. Suspect the premiums will fall off once volatility dies down, at which point I should just be holding anyhow.
Learned that the options market for BIP is too illiquid (massive bid/ask spreads and thinly traded) to mess with them. Also, premiums for WBA weeklies are pathetic, so I didn't bother.
Only playing this game with newly acquired lots of shares, but fun experiment so far. Suspect the premiums will fall off once volatility dies down, at which point I should just be holding anyhow.