5.74 (-0.21)
03/05/2010 – ThetaOptions IRA Portfolio – Palm May10 Initiated
The IRA portfolio has initiated a “3″ legged option spread on PALM for the month of May, our hopes is that the stock maintains this level or slowly begins to rise over the next few months to finish above our Bull Call Spread. Of course, we’re paying for this spread by selling PUTs. Read the rest of this entry »
19.21 (+1.05)
03/09/2010 – ThetaOptions Margin Portfolio - Selling More Calls
Wow, up 10% again….right back at 19.20 just like yesterday. Since we succefully knocked out our 500 short shares @ 18.25 yesterday, the (MP) is going to sell (10) MAR 20.0 Calls naked. Read the rest of this entry »
102.80 (-0.50)
02/26/2010 – ThetaOptions Margin Portfolio - DIA PUT Adjusted
Well we didn’t get the morning pullback we were looking for, as the economic data seem to be in-line with expectations. However we manage to see a small pull back starting at 10:03 est. Therefore we decided to sell (2) of our (3) 103 PUTs & then sell (1) 102 PUT in-order to setup a FREE Bear PUT Spread. We’ll let that simmer for awhile!
Filled Orders:
SOLD -2 DIA 100 MAR 10 103 PUT @1.76 credit
SOLD -1 DIA 100 MAR 10 102 PUT @1.35 credit

Position: We have a classic Bear PUT spread at NO cost

Cost Basis:
02/25 – Bought (3) 103 PUTs 1.59 each = $477
02/26 – Sold (2) 103 & (1) 102 = $487
Total Cost basis: $10 credit so far.
February 24th, 2010, 10:33 am EST. Posted under Theta Articles by ThetaTrader.
99.66 (-5.45)
02/25/2010 – ThetaOptions Margin Portfolio – Adjusting MAR10 Position
First Solar is tkaing another pounding this morning, it’s already down %5 this morning. That brings us down from 126-99 since earnings last week. Can you imagine how the professional analysis might feel right now after upgrading FSLR right before the earnings announcement last week. Anyhow, we’re selling some more naked PUTs down here today. FSLR will find its MARCH support level soon enough, hopefully it’s above our strike pattern
Read the rest of this entry »
17.50 (-0.28)
02/23/2010 – ThetaOptions IRA Portfolio - VLO JAN11 Dividend Position Inititiated
The IRA Portfolio is going to initiate a small dividend play on VLO today buy purchasing the stock @ 17.50 and selling the JAN11 LEAP. If the stock continues to drop, we will convert this position into a Buy/Write by selling the JAN11 15 PUT for credit. If VLO finishes the year above 17.50, then the trade will make 15%. In addition, we have approx 15% downside protection until we began to accumulate a loss. Once again, this is the power of using options within a portfolio to increase your profit & reduce the risk. Read the rest of this entry »
543.36 (+10.03)
03/09/2010 – ThetaOptions Margin Portfolio – BIDU MAR10 Short Closed – $380 Loss
OK, selling naked options becomes way too risky when a stock moves from 380 to 550 in 8-10 weeks. It’s better to take our loss now, rather than adjust this and risk a huge loss. Our mental stop loss on this option was $8; we didn’t want to lose more than $4 and that’s where we’re at this morning.
Filled Order:
BOT +1 BIDU 100 MAR 10 550 CALL @7.90 debit

Position: Closed

Profit/Loss: Sold Call $410 & closed for $790 = $380 loss
18.75 (+1.23)
03/09/2010 – ThetaOptions Margin Portfolio – UAUA June Short Adjusted
What we can we say, an OLD Fashion business model has discovered the cure for cancer while their passengers climb aboard. Well, at least that’s how the stock is reacting these days. UAUA is up over 100% in 3 months & is UP 20% in the past 3 weeks, most of that gain has come in the past few days. We have no clue whether or not the stock will touch 100 by JUNE or not, but we’re going to adjust the JUNE position before it’s too late.
Read the rest of this entry »
25.02 (-0.17)
02/12/2010 – ThetaOptions Margin Portfolio – AT&T Bullish position initiated
Since AT&T hit our target price of 25 in the IRA, we felt that the (MP) should enjoy some fun as well. Therefore, we’re initiating a bullish stance on them by selling the PUTs & buying Calls. When & IF the stock rises above 27-28, then we will consider selling monthly Calls against our LEAP position. Read the rest of this entry »