Re-established Covered Call in C

As discussed here CCI has a long position in the financial sector etf (xlf) via the Jan 15 $10 Call, that has usually been hedged via a shorter duration short call in Citigroup (C).

Since the last post about this position here,  both the XLF etf and C have generally moved sideways. That means CCI was able to harvest option premium on C's  Aug 9 $52.50 covered call and then again on the Aug 23 $53 call.  With the market up this morning CCI re-established the hedge for this position by selling the Oct 4 $53 call for a $.32/contract credit.

Since inception on Jan 8, the performance of various holdings are shown below

• The XLF etf is up a very nice 20.1%! (including dividends)
• The leverage obtained by instead simply holding the Jan 15 $10 call would have returned 47.4%.
• The leveraged long/short strategy defined in this thread is up 43.8%.

Obviously, being long a market that goes up 20% is going to be a good thing! (if only all my selections went 20% in the right direction...lol)  This approach, which doubled the returns with the leverage of the Leap while somewhat offsetting the related risk with the short call position, has worked well.   Stay tuned.