Cabin's journal of buys, sells, and covered calls...

[Cabin1111]

What got called away this weekend. I had about 10 options. I won't bother with what expired out of the money...

I do many covered calls way out of the money just for cash flow. You can see the above trade I posted yesterday.

What got called away at Fidelity (nothing at Schwab).

OTIS at $95.

SCHW (Schwab) at $65. I still own 100 shares that I didn't option. I thought they may have major problems with the integration of TDA...They didn't.

TMUS (T-Mobile) $175.

TSN (Tyson) $55. I bought this close to the money...Just wanted the option, dividend and what ever profit I could get from the trade. Was (in the back of my mind) always concerned about some disease dropping the stock (shutting the plants). That is why I played the option that way.

XLB (Materials Select an ETF...Building products) at $86.

BSX (Boston Scientific) at $70. (300 shares). My wife still has 300 shares in her Roth IRA. This trade has still not shown up at Fidelity...I'm sure it will clear in an hour or so.

That's it...

 

[Cabin1111]

I took a lot of the called away option today and bought 6 month US Treasuries.

I Got about 5.3%, expires in December. Nothing looks good to me right now...

 

[Cabin1111]

Ditto...Bought another US Treasure. 5.3?%...Jan 15, 2025.

Bird in the hand...

I also optioned BP Jan 25 $40. (Roth IRA). Sell to open (2) at .99...This is a great company to do covered calls on.

The chart stays in a consistent range...Good dividend, mature company.

They are getting into alternative energy (losing proposition)...That will keep the price steady for years to come.

Wash rinse repeat...

 

[Cabin1111]

Bought back 2 options on Zion Bank ZION at $50. Bought them back for $55. each.

The stock was over $50. this morning...I put in my price, then went back to sleep (California). I picked it up (could have got it cheaper)...Just didn't want it called away.

It expires tomorrow...I'll wait and see if I want to option it again. Quality company that buys smaller banks...Opens and closes branches, so you never know what the quarters will bring...

 

[Cabin1111]

Bought back 2 options on Zion Bank ZION at $50. Bought them back for $55. each.

The stock was over $50. this morning...I put in my price, then went back to sleep (California). I picked it up (could have got it cheaper)...Just didn't want it called away.

It expires tomorrow...I'll wait and see if I want to option it again. Quality company that buys smaller banks...Opens and closes branches, so you never know what the quarters will bring...

Zion still has to deal with their bad commercial loans and poor car loans.

We'll see this quarter how much they set aside for those issues...

 

[Cabin1111]

Another quick covered call. We have 100 shares of Coke (KO) at Schwab.

Sell to open June 25 $75. We got $1.62 ($162.) for the option.

Good dividend and option money flowing. If it gets called away...I'll wait a few months then buy another 100 shares. I also own 100 shares in a Roth IRA somewhere of KO...Will just keep that one.

At tax time, this become a real headache for my CPA, all these little profits. But he works with us and is cheap...

 

[mervyn]

At tax time, this become a real headache for my CPA, all these little profits. But he works with us and is cheap...

In IRA accounts, there is no trading tax consequence, just minimum mandatory distribtion, the best kind.

 

[Cabin1111]

In IRA accounts, there is no trading tax consequence, just minimum mandatory distribtion, the best kind.

Yeah, this was in the trust account.

My wife and I each have two Roth IRAs...

Very easy at tax time and even better when planning an estate...

 

[Cabin1111]

An option today on Starbucks...It's up about 20% today.

One covered call for the June 25 $125. I got $2.01 ($201. for the option).

It's in our trust account.

They brought in the chief executive from Chipotle to turn it around.

I don't think it will be a fast turn around...Many labor issues and they will still need to close many underperforming locations.

About a 3% dividend issued soon. Income while we wait...

 

[Cabin1111]

Quick option in Roth IRA (100 shares).

Junior Gold Miners (GDXJ)

One covered call for the Jan 25 $58...I got $137. for the option.

I still own stocks in things like RING and SLV. Just not optioning them at this time.

I'll hold them for insurance sake.

I just wanted to create some income (way out of the money). The premiums are good now for gold and silver. Put something out there for cash flow.

Cabin