The stock market reversed course from this morning giving us a chance to roll 3 of our positions with options expiring tomorrow.

TRADE ROLL

Cardinal Health (CAH):  55.69

Cardinal Health stock has held up reasonably well in this up-and-down market. The company doesn’t report earnings until 8/11, so we can roll our calls out two weeks and collect a solid credit.

ACTION: Roll the CAH 22 Jul 54 call to the CAH 5 Aug 54 call for a net credit of around 0.50 to 0.55 and a 1% return.

Buy to close the CAH 22 Jul 54 call

Sell to open the CAH 5 Aug 54 call

TRADE ROLL

CF Industries (CF):  84.95

We’ve discussed before that fertilizer prices are starting to ease around the world, but the demand hasn’t dropped in a significant way yet. CF stock price continues to trade in the 85 to 90 range. Let’s roll our puts out two more weeks.

ACTION:  Roll the CF 22 Jul 95 put to the CF 5 Aug 95 put for a net credit of around 0.75 to 0.80

Buy to close CF 22 Jul 95 put

Sell to open CF 5 Aug 95 put

TRADE ROLL

Southern Co. (SO):  70.92

We continue to grind away rolling our Southern Co. calls each week. Let’s roll them out 2 weeks to 5 Aug.

ACTION:  Roll the SO 22 Jul 73 call to the SO 5 Aug 73 call for a net credit of around 0.40 to 0.45 

Buy to close the SO 22 Jul 73 call

Sell to open the SO 5 Aug 73 call