LUV closed at $29.33 on Friday, April 24. I signed in to my brokerage account this morning and saw that an order for 400 shares at $30 was executed at 7:06:30 AM ET on Saturday, April 25. Now it’s time for me to sell four LUV CALL contracts! I entered a sell-to-open for four CALL contracts at a strike of $30 with an ask of $1.05 and an expiration of May 1, 2020. Assuming I sell those contracts that will be approximately a 3.47% return for the week, taking into account the $0.01 per share fee I will pay. It’s easy for me to decide how to do this calculation because I actually spent $12000 to buy the 400 shares.
I also decided that it’s time for me to start playing my PG and CMCSA shares. It’s good timing because I will be a holder of record when the dividend payments are made for this quarter. I won’t need to worry about whether my shares will get called away and I’ll miss getting those payments. On April 14, 2020 PG announced a $0.7907 dividend per share with a pay date of May 15, 2020 for investors of record as of April 24, 2020. On January 18, 2020 CMCSA announced a $0.23 dividend per share with a pay date of April 22, 2020 for investors of record as of April 1, 2020.
I entered a sell-to-open for three CALL contracts of PG at a strike of $120 with an ask of $1.20 and an expiration of May 1, 2020. It’s not as easy for me to decide how to calculate my return on those contracts. I don’t know what my average cost per share is. Long ago I had invested $5000. But, I’ve sold PG stock on more than one occasion for a total far in excess of that $5000. So, to keep things simple I have decided that I’ll calculate my return as $1.19 / $120 for approximately a 1% return for the week.
I entered a sell-to-open for one CALL contract of CMCSA at a strike price of $38 with an ask of $0.85 and an expiration of May 1, 2020. I don’t think I even purchased CMCSA. It appears that I acquired that stock as a result of ATT spinning off ATT Broadband and merging with Comcast. Long ago I had purchased $5000 of ATT, which I don’t even own any more. ATT had spun off other stock as well. I’m going to use the same type of simple approach as I did for PG and calculate my return as $0.84 / $38 for approximately a 2.21% return for the week.
I’m curious to see if any of my orders are executed and at what price.
LUV shows a BidXAsk size of 1X10, which is not in my favor. It has a last sold of $1.05 on Friday at 3:59 PM.
PG shows a BidXAsk size of 1X10, which is not in my favor. It had a last sold of $1.21 on Friday at 3:59 PM.
CMCSA shows a BidXAsk size of 44X12, which is in my favor. It had a last sold of $0.84 on Friday at 3:44 PM.
I give thanks to the Universe for the abundance it provides me. I surrender and am open and ready to receive.
Bhavatu sabba mangalam - May all beings be happy