#CoveredCalls – Sure didn’t think I’d still be in this since last earnings. Started out as a blown out strangle and the stock has lost 30 percent since last quarter. Through extremely aggressive call selling (double selling and selling in the money) I’ve managed to stay in the game. Started at around an 80 basis and currently sitting at 66.16.
Next week it’s earnings time again and I’m still being cautious. Selling in the money at a level that will give nice downside protection while still allowing the stock to get called away with a small profit.
Rolled WTW OCT 26 2018 65.0 Calls to NOV 2 2018 58.0 Calls @ 8.85 credit
New basis is now 57.31 covered at 58.0. Estimated move on earnings of about 10 dollars. I don’t quite have all that covered to the downside but got most of it. If the stock gets that low I may back off on the aggressive call selling and keep longer term for a turnaround.