Wednesday, October 2, 2013

Rolled EEM Coverd Calls

The Index Covered Call Trading Plan  (aka: ICC) is CCI's approach for managing a position of index ETFs and related covered calls.  The most recent trade against this plan is described below.  A reader can find details about the rational and management of the trades at the ICC trading plan tab on CCI's home page.  


DESCRIPTION: iShares Emerging Market Shares
TRANSACTION TYPE:   Emerging market stocks pulled back again.  CCI used this opportunity to harvest option premium, and re-establish the covered call  as described below.
TRANSACTION DATE: Wed  10/22/13  
Action: Buy to Close
Exp. Date: Oct 4, 2013
Strike: $42.5
Price: $.03
Action: Sell to Open  
Exp. Date: Oct 11, 2013 (one week out
Strike: $42
Price: $.32
Net Credit: $.27 after commissions

No comments:

Post a Comment