We have several positions that we can roll, sell calls, or buy stock and sell calls ahead of tomorrow’s expirations.

SELL CALL

AbbVie (ABBV):  152.31

AbbVie stock has traded higher the last several days on no real news. That gives us enough room to sell a call above our stock entry price (around 156.96) and no fear of being called out.

ACTION:  Sell to open ABBV 17 Mar 157.50 call for a net credit of around 0.95 to 1.00

Note: If you don’t hold ABBV stock, you can buy the stock at this price and sell the same call strike.

TRADE ROLL

Cardinal Health (CAH):  78.26

One of our strongest positions continues to be Cardinal Health (CAH) which has been trading in a steady range of 76 to 80. We can roll our call out and down one strike for a solid credit.

ACTION:  Roll CAH 24 Feb 80 call to the 3 Mar 79 call for a net credit of around 0.48 to 0.55

Buy to close CAH 24 Feb 80 call

Sell to open CAH 3 Mar 79 call

BUY/WRITE

Dow Inc. (DOW):  57.17

Dow stock has hit a support level and we can buy the stock today ahead of Monday’s (2/27) ex-dividend date and sell a call far enough out of the money to avoid being call away.

ACTION:  Buy/write DOW stock and the DOW 17 Mar 59 call for a net debit of around 56.55 to 56.65

Buy DOW stock

Sell DOW 17 Mar 59 call for 0.40 to 0.45

Note: Prices on 3 stocks are bouncing up and down this morning.