You are a trader, and I'm an investor. We are indeed very different. For the most part anyway. I have some speculative things, but everything in the end is all about expectations. And it sure doesn't mean I can't change my mind if the story of any investment changes. For the better or worse...
My latest *activity* would have been yesterday:
08/04/22 Bought To Cover 9 M Jan 20 '23 $40 Call(M) @ $0.07 Unassigned -63.09
08/04/22 Bought To Cover 1 M Jan 20 '23 $40 Call(M) @ $0.07 Unassigned -7.01
Translation: Figured, why not close out the covered call I wrote that expires this January for only $70. Small price to pay in case anything *unexpected* happens on that runway, like Macy's sells Herald Square or spins off their digital business.
Because prior to that, I made myself a self-made "dividend" in the form a covered call way back here:
These were not trades. Just a self-made dividend with a price ceiling of $40. I figured, worst case scenario, I get called out at $40 which is a decent valuation for Macy's. My LONG TERM hold. Bought that when it was on fire too. Which goes way back to April of this year:
07/01/22 Dividend MACYS INC CASH DIV ON 1000 SHS REC 06/15/22 PAY 07/01/22 Unassigned 157.50
04/06/22 Sold Short 10 M Jan 20 '23 $40 Call(M) @ $0.91 Unassigned 904.87
So, $904 - 70 + 157 (real dividend) is just a sweet extra $1,000 pre-tax income, which I don't need because I'm a minimalist. So it stays in my acct. to work for me. And I'll pay taxes on it too, because I still don't have any "dogs" I'd like to sell. Every dog has its day. At least, in my portfolio. Which I put up for review, and you are more than welcome to become my Devil's Advocate on any on of them. Or rather, join my many devil's advocates on each one. :)
What that transaction was about was win-win-win. All bases covered. Always! Now my shares are unrestricted again. For a small cost of $70, I may get the opportunity to sell another covered call in that formerly restricted time frame for another $840 on the net. Or not. Didn't have to close it out. Just decided, why not? Just $70.
And, yes, your expectations in regard to NILE are all nefarious in nature. And you may be right. You are basing all this on past experiences and/or interpretations of your observations. Which have shaped your *expectations.* But you also reject his testimony, and perhaps he may prove you wrong. Or not. And others may or may not share your sentiments. Ie, expectations of what is to come. Could be considered a prejudice as well. Or bias. Rightly or wrongly. Well founded or not. Matters not. Nothing wrong with that one way or another. But they are expectations. The truth will come out of the shake regardless. And truth can be elusive.
