Quick Update: 3rd Week of June $SPLK Options Trade
$SPLK $40 strike, $60.3 limit exp 16th June 23
Forgive the squiggly lines but I had to take at least some manner of precaution.
I have sold 4x calls (I own 400 shares of SPLK 0.00%↑ , so its a covered call) $40 strike at $61.30 limit.
Credit received: $24,520
My average price from last week's assignment is $100 - $1.09 limit, so its $98.91.
Total profit if shares are called from is $40+$61.30 = $101.30 less $98.91 for $2.39 a share or about $956USD gain if shares called or about a 2.41% gain for the week.
My maximum upside right now is if the market takes an absolute tailspin and ends the week down and the calls expire worthless in which case I get paid nearly.
My maximum downside is I get paid 2.41% a week. Go do the math on what that is annualized.
Win-win set up either way. I don't care if the shares are called from me. Time to chill.
Not financial advise. DYODD. Refer to this post if you don’t prefer selling deep in the money call options.
You can join this telegram group if you wish to have real time updates right after I finish the trade. I update that channel first, then my substack.