Happy germy Sunday! Yes, covid finally got me - so this article is going to be short. Last week I talked about a trade in Abbvie which didn't make it into the newsletter, I'll update that trade today. This week:
+$45 (so far) in ABBV
Let's go!
+$45 (so far) in ABBV
Last week Abbvie reported earnings on 28 October and the market was not super excited about what they had to say. I decided to take the opportunity to sell cash-secured puts at the $135 strike for $90 in premium. The price actually got better later in the day, so you'll see that I recommended that people in my course start off even higher at $1.20 and move towards $0.90.
Similar to my Nike trade last week, I sold 2 puts - 1 to close at 50% of max profit, along with the participants in my course, another to close at 75% profit. We did hit the first threshold of 50% of max profit and and locked in $45 in profit, but the 2nd put is still oustanding and hopefully it'll hit the 75% profit threshold this week.
I apologise for the short update this week, this brain fog is a real thing. I hope to be back with a regular update next week.
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.