March Option Investing – Covered Calls

My February calls for DRN calls were exercised, while the EDC and ERX calls expired.  I documented my FAS option investing using March covered calls here.

March technical analysis indicated some near term resistance for EDC and ERX (so not surprised the calls expired) and DRN and FAS had just experienced some powerful upward moves.  So I’ll use out-of-the-money (OTM) calls again.  TMF continued its recent fall, so I’m still out.

I entered orders last Monday, but just like last month, it took some time for the option prices to reach the limits I set.

ETFs (Bought)

  • DRN – $65.14
  • EDC – $114.06 (Purchased on 2/18)
  • ERX – $57.77 (Purchased on 2/21)

April 21st Calls (Sold)

  • DRN – $66.00 call @ $2.80
  • EDC – $115.00 call @ $5.90
  • ERX – $59.00 call @ $2.50 / $52.00 call @ $3.00

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

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