Happy Sunday! Volatlity is creeping back ever so slightly in the market, which meant more opportunities to put positions on, but at the same time making sure to lock in profits where possible. Updates this week:
$70 profit in Nike (NKE)
$52 profit in Dick's Sporting Goods (DKS)
$70 profit in NKE
About a month ago I sold a $105 cash-secured put put expiring on Aug 18 in NKE for $140, and the stock has sort of traded sideways for the last month. Even so, eventually my order to close the trade at $70 got hit, which means I locked in $70 in profits or 50% of max profit.
NKE has been a little all over the place in the portfolio this year, with only $153 in realised profits over 3 trades (with a 4th still open).
But as always, the beauty about selling options is that you don't have to get your direction right and still be able to make money - as this example clearly shows.
This was trade #34 in my Bread Crumb portfolio - subscribers get real time updates when I place trades for myself (ie not recommendations).
It costs $49/month and this one trade would have more than covered that amount, with other trades being pure profit.
$52 profit in DKS
Just over 2 weeks ago, DKS was showing a nice set up so I sold a cash-secured put at the $125 strike expiring Aug 18, for $102 in premium. Unlike the NKE trade earlier, DKS did rally quite a bit, which led to me taking off the trade much quicker and paying $50 to close the position, for a realised profit of $52 (or just about 50% of max profit).
I've also put on 4 trades in DKS so far this year, and they've turned out a lot better than my NKE trades with 4 wins out of 4, for a total of $362 so far. You can read about the first profits in DKS I made in January at the link below.
Closing words & useful links
Earnings didn't throw up as many opportunities as I'd hoped, although participants in my course got to put on a trade in O together during our weekly live training session.
With most of the earnings out of the way, we're back to waiting for overall market movement to come from… somewhere. Let's see if we get it this week.
Latest Youtube video: all my dividend income from Jan - Jun 2023
Improve your financial life with my budget and wealth tracker that helps to allocate your budget, calculate savings rate, track your sinking funds, net worth and progresses towards FIRE with minimal input from you - most of it is automated.
Sign up for real time updates within my portfolio with the Bread Crumb subscription
This article is for educational purposes only. This is my own portfolio which is being managed according to my goals and risk tolerance. Your situation is likely different and you should do your own due diligence before investing in stocks or options.