I'm reporting a few more options trades that executed last Thursday and Friday. I've been out of town in Colorado so I'm trying to catch up.
Many of you may have noticed that Intel decided to keep their next dividend the same. I was expecting to see a raise and hope to see one by July of this year. In July, it will be 2 full years since they have raised their dividend. Now I don't mind collecting the dividend while I'm waiting but I think I've been waiting enough. Intel is also my largest position so I decided to start selling some calls until there is a dividend raise or my shares are called away.
I also sold puts in both KO and ESV. I'd like to add more of these companies to my portfolio.
The trades:
A.) I Sold 2 INTC OCT 18 '14 $25 Calls @ 1.58
B.) I Sold 1 KO Aug 16 '14 $39 Put @ $2.00
C.) I Sold 1 ESV Sep 20 '14 $55 Put @ $6.50
These trades could turn out a few ways:
1 a.) I hold shares until expiration and shares are trading below $25.00. I will get to keep the $316 in options premiums.
1 b.) I hold shares until expiration and shares are trading above $39.00. I will get to keep the $200 in options premiums.
1 c.) I hold shares until expiration and shares are trading above $55.00. I will get to keep the $650 in options premiums.
2 a.) INTC is trading above $25.00 at or before expiration and shares are assigned. I will be forced to sell 200 shares of INTC at a price of $25.00/share.
2 b.) KO is trading below $39.00 at or before expiration and shares are assigned. I will receive 100 shares of KO at a cost of $37.00/share. This is currently lower than my cost basis.
2 c.) ESV is trading below $55.00 at or before expiration and shares are assigned. I will receive 100 shares of ESV at a cost of $48.50/share. This is currently over 10% below my cost basis.
3 a.) Shares of INTC drop significantly and I decide to buy back the call early for a profit less than case 1 b.)
3 b.) Shares of KO go on a run and I decide to buy back the put early for a profit less than case 1 b.)
3 c.) Shares of ESV go on a run and I decide to buy back the put early for a profit less than case 1 c.)
I currently have 11 open options positions and a total options profit of $716 for 2014. My options page has been updated accordingly.

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