February Option Investing – DRN Covered Calls – Part II

Well…that was quick. The market has taken a beating the past few sessions, and DRN has followed suit.

I was not able to capture the large spreads the other day (Blog Post: Holy Spread Batman!) using EDC and DRN positions. Looking back, these were pretty normal.

Yesterday, I made out a little better with a DRN trade. It does make me wish I would have waited to pull the trigger, but 9 times out of 10, waiting just reduces the time value and in turn, my cashflow. And that is the exact reason it pays to have rules and follow a process!

Sold a March 2011 call at a $62.00 strike price.

Gross Cashflow: ~$394 USD

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About T. Knight
Blogging about my journey to financial independence via investing for cashflow.

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