EEM Bounces, Covered Call Rolled Out and Up

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:   Emerging market have bounced the past few weeks. CCI has continued to roll the weekly covered calls in this position as described below.  Given the upward movement in the underlying, the covered calls have been a drag on recent performance. However,  YTD selling the calls have generated approx. 5% in income to offset the bad year for the underlying.  CCI will be looking to roll this call again towards the end of the week.

 

TRANSACTION DATE: Th  9/5/13 

Action: Buy to Close

Exp. Date: Sept 6, 2013

Strike: $39

Price: $.65

 

Action: Sell to Open  

Exp. Date: Sep 13 2013 (one week out) 

Strike: $39.5

Price: $.55

 

TRANSACTION DATE: Thurs9/12

Action: Buy to Close

Exp Date: Sept 13, 2013

Strike: $39.5

Price: $1.52

 

Action Sell to Open

Exp Date: Sept 20, 2013 (one weeks out)

Strike $41

Price: $.53

 

Net debit/contract after commissions: $.1.14