SS, Re CRUS ...
Pythia had a Buy signal for CRUS yesterday. Stock is up today (like you didn't already know).
I don't really like CRUS very much (customer list), but since it's up today, this level of support is reinforced but could become creaky as July approaches (an often weak season for technology stocks). I don't want an options trade on this thing that stretches out months and months, so I decided to become a slum lord and rent out the stock for a while.
To rent it out I have to actually own it. So I bought a bag of CRUS this morning and am holding it at arms length. I paid 18.12 -- reminds me of a war. Then I immediately sold Jun 22 $17 Calls for $1.60. On June expiration the stock may very well be taken from me (assigned) at $17, in which case my profit (rent received) will be $480 minus expenses. Theoretically I could do this every month for an annual return of over 32% minus expenses. If for some reason CRUS sells off to $17 or less by June 22 (not likely) then I'll rent it out for another month. Even if the stock is assigned in June, I can still choose to buy it back and rent it out again, and again, and again. Yawn.
Hey, it's a living.
