It was another rough week in the markets. Looking at the overall picture though, things aren’t as dire as some may think. The Nasdaq 100 is only down about 4% from it’s all time high so the drop in the market over the last couple of weeks is tame compared to other drops. Time will tell when things start going back up.
You’ll notice that during these drops in the market I will end up letting some positions get assigned and then sell calls on the shares. At this point things are still quite manageable. I still have plenty of capital to work with in the event the market continues to drop more.
Week 29 Results
The only option position I started the week off with was a TSLL $20 strike put expiring 11/14. I also started the week off holding 100 shares each of HIVE, QUBT and SPCE which I had gotten assigned on last week.
So I started the week off with selling calls on my shares with strike prices I had gotten assigned on. I sold a HIVE $5.50 strike call with an expiration of 11/21 for a premium of $25. On my QUBT shares I sold a $16 strike call with an expiration of 11/21. I collected a premium of $30 for this call. And on my SPCE shares I sold a $4 strike call also expiring 11/21 and collected a premium of $23
When the week started, my TSLL put was just slightly out of the money. But as most everything in the market dropped this week, the share price of TSLL had fallen quite a bit below my strike by Friday so I let the put get assigned. My hope is that maybe we’ll see the start of a move up in the markets this next week and I can get a decent premium for selling a call on the TSLL shares on Monday.
Here is a chart of my trades for October and November so far:
Summary
The amount of premium I collected this week was a little below my target, but I decided to not open any new positions out of caution in not knowing if the market will continue to decline. That gives a good safety factor moving forward.
I collected a total of $77.88 in net premiums for the week. My target for week 29 is $85.10. Total premiums collected for the first 29 weeks is $2,491.68 and my target premiums for the first 29 weeks is $2,242.06. This still puts me at about $250 ahead of my target as far as premiums collected is concerned.
Here is a snapshot of my positions at the end of the week. Obviously the TSLL put will convert to shares by Monday morning.
