Tuesday, December 31, 2013

December 2013 Options


Happy Holidays Everyone,

December proved to be an interesting month to say the least, but it goes to show how options can still help out in adversity.

CSCO and F both had a rough month on revised guidance, each having a modest drop over the course of a couple of days.  Being that I have a larger portion in both, the cov'd calls at the strike prices I want to be above were not as lucrative as when the price of the stock is closer.  (Ie around 22.50 for CSCO  (which now has risen back) and F in the 16.75 range).  That being said I had to sell some longer running cov'd calls so my monthly total wasn't as high as it could be (they will be expiring in Jan) but I still managed to make $1393.26 of profit.

SWHC also had a strong month, which is normally a good thing, but I was in a $13 Dec 23rd covered call, with my stock avg cost of $13.55.  So even after the .30c premium on that one, I took a couple hundred dollar hit when I had to sell them with .25c loss per share (1200 shares)



                                                  

So that brings my total for 2013 to $33,790 (aprrox) of profit on options (short term).   I am pretty excited/pleased with that as this is my first true year of doing them.  I made many, many less "rookie" trades (ahem mistakes) this year, than when I started in mid 2012, and now that I have a comfort level with what I'm doing, I'm looking very forward to many years of success and increasing yearly totals.

2014 looks to be a great year and I have some goals as well as new guidelines I am going to post about, but that will be after the new year.   Enjoy the New Years celebration and we'll catch you in 2014.



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