Replies to post #28961 on *** ALL THINGS MONEY >>>> ATM ***

[penny to dollar]

Thanks AD. Here is my thought when

I opened the $GG put position:

first I opened the March short put position(bullish) after $GG dropped a quite bit from recent high of $50.74, meaning the downside pressure is not big any more;

secondly, there were only 11 days left until expiration date, time is on my side( remember this is a short position).

thirdly, also the most important reason: I have no problem to get assigned to buy $GG shares at $45 (actual cost is $44.47/sh), take a look at the chart below, the golden line is $45 level, in that one year chart, the number of days that $GG was below $45 is very few, to me it is very safe to buy shares under $45.



In case I get assigned I can always sell covered calls while waiting for share price to go up.


Have a good night!