Monday's EEM Buy/Write Trade

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.
 

UNDERLYING ETF: EEM    

DESCRIPTION: iShares Emerging Market Shares 
TRANSACTION TYPE: Buy/Write

Emerging market stocks rebounded last week and the stock was called away by last weeks option position. During the holding period of this lot of stock the capital loss in the stock was almost exactly equal to the  premium collected.  Since the stock was called away,  this Monday the full position was re-established.   

TRANSACTION DATE: Mon. 3/11/13 

Action: Buy Price: $43.82

 

Action: Sell to Open Exp. Date: Mar. 16, 2013 (one week out)  Strike: $44.00 Price: $.20 

 

Net Debit/contract: $.43.67 after commissions