Monday, July 23, 2012

OPTION EXASPIRATION:

Option expiration Saturday caused a lot of activity in DITM. My NVS "annual" dividend finally rose above the call to get called away 5 months later ( I was hoping for 1 or 2). Still, the annualized return was over 10%. JNJ getting called away was not as lucrative, but better than MMFs, at 5%.
Several stocks had options slip below the call-away strike and expired worthless: MCHP, ETN, WM, SSO, and AYR. (These are not recoms).
 I'll wait for an UP day and write the same call ABOVE the stock price and accumulate the same dividend, call premium, and hope to get called later.

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