Cold late autumn winds and even snow blew into parts of the country in November, but we stayed nice and warm collecting over $1,356 in cash income from our weekly option trades.
We spread the cash collection around this month trading everything from the airlines, energy sector, technology again and even a drug company.
The big winner was in “clean energy” where we sold First Solar – [stock_market_widget type=”inline” symbol=”FSLR” template=”basic” color=”default”] weekly puts on a Tuesday, on Friday rolled them to the following week for even more premium and walked away with $375 of cash…twice the amount from our initial open position. As I tell my members all of the time…”rolling” options to the next week can be a very good thing.
We dipped back into the biotech sector with Gilead Sciences – [stock_market_widget type=”inline” symbol=”GILD” template=”basic” color=”default”], the most undervalued and misunderstood large cap on the planet. Recent headlines have hit the stock hard creating a great buying opportunity. So we sold a GILD weekly put option for $110 and bought it back 5 days later for $46…a net cash profit of $64 or $192 with the 3 contracts we sold.
We went back to the well again in the technology sector with Western Digital – [stock_market_widget type=”inline” symbol=”WDC” template=”basic” color=”default”] weekly put and picked up $282 on a weekly option trade that was open for less then a week and T-Mobile -[stock_market_widget type=”inline” symbol=”TMUS” template=”basic” color=”default”] for $150 of cash in just 3 days.
We ended up closing 7 trades in November and generated $1,356 of cash profit on less then $30,000 of capital for a nice a 4.5% return vs. 2% for the S&P. I’m seeing the market start to broaden out some and the end of the year will be a good time to take a look at the consumer sector that will benefit both the travel and holiday retailers…and there are plenty of weekly option cash collection opportunities with the stocks in those sectors.
Year-to-date we’ve closed 84 or 95% winning options income trades with only two losing and two break-even trades generating over $17,127 in cash and a 34.05% return.
Next up: December… We’re in the middle of our holidays and that means it’s time for my “Holiday Cash Rush”.
In the next 21 days before Christmas I’m going to help my Options Income Blueprint members generate $1,000 of extra cash selling week options. I hope you can join us and collect that EXTRA $1,000 with us.
About The Author
Michael Shulman is a 30 Year Veteran of the financial markets – as a trader, a financial analyst, a financial writer and most recently as an educator.
Mr. Shulman made his first option trade in 1985 – COMPAQ Computer calls – a position that expired worthless. His second trade broke even; the third brought him a year’s salary, a near twenty to one return on his investment. He has never looked back. He entered the financial publishing business formally in 2001 as director of research for ChangeWave Research’s institutional research business and as the writer and editor of Hedge Fund Investing.
He has published two books – Sell Short and Made in America – both of which can be found on Amazon.com, and he is a frequent contributor to reputable financial sites like Seeking Alpha, MSN, MainStreetInvestor, and Traders Reserve.
Most importantly, since 2010, he has dedicated himself to teaching income investors how to get more income from their portfolios using simple yet safe options selling strategies which produce income every week. This approach was developed from the ground up in Mr. Shulman’s own accounts, his goal to develop a strategy that cannot be replicated by institutional investors of any size and therefore independent of fads and trends that change too often to provide a consistent approach for individual traders.
His trade recommendations in his Options Income Blueprint, Perpetual Income Portfolio Club and Income Masters services maintain a 98% success ratio, meaning his trades produce the expected income 98% of the time. No one’s perfect.