Replies to post #68 on Pirate Traders

[Ben Dover]

I'm gonna be out of the QCOM short here very shortly. Pardon the pun. My BTC stop is now set at my entry point. I will not lose money on this trade.

[Poet]

Fantasy QCOM covered calls:

Current price of the underlying: 45.23

If we're assuming a bearish market tone, we'd sell to open the Feb 45 calls (AAOBI)with a limit order at the bid, currently: $2.00

This means that is QCOM is trading below $45 per share at February expiry, you collect $200 per contract sold, minus brokerage fees.

Let me know if you want another scenario.

Smooch!