Adjustments and Comments on Open Trades
FSLR – With FSLR trading around $33.50, we recommend closing the entire position (covered call and short bear call spread) for around $33.50/share, booking $1,500+ profit since we have managed to reduce our cost basis down to $31.47/share. Alternatively, you can but a tight stop on the covered call under $33 and a stop on the short bear call spread over $34. This is an incredible result from a disaster gap/move against our original entry, which was possible with the use of selling options around the position. Please listen to the recording if you would like more detailed information of our analysis and each trade.
First Solar Trade Management Video
SHOP – Shorted 10 Jan $45/40 bull put spread for a net debit of $700. Had nice move so move stop to $46.68.
Happy trading! If you have any questions or comments, please e-mail Greg Capra at Greg@mastertrader.com or Dan Gibby at Dan@mastertrader.com
All the best,
Greg Capra
Managing Director and Pristine Founder
Dan Gibby
Chief Option Strategist
Follow Greg on Twitter and StockTwits to get real-time updates:
Twitter: @GregCapra
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