DivGro: Options Update: October 2018 (Part 2)

DivGro is now DivGro 2.0!

Sunday, November 4, 2018

Options Update: October 2018 (Part 2)

Part 1 of my monthly options update presented October's assigned, expired, closed and rolled options. Also, I reviewed options that expire in the next two months and discussed the progress I've made related to my secured options income goal.

In Part 2, I'm providing details on covered calls and put contracts sold in October, as well as a spread trade I executed. I'm also providing the usual snapshot of recent options trades showing a running tally of options income and secured options income.

I added options trading to DivGro in June 2016 to leverage the equity in my portfolio and to generate more income.

Combining dividend growth investing with options trading creates a nice "ecosystem". My portfolio produces dividend income and serves as collateral for a margin account that allows options trading. In turn, options trading produces options income that flows back into my account, allowing me to buy more dividend growth stocks.

New Covered Calls

Selling covered calls is a way to collect extra income on stocks you already own.

#249

2018-10-23

-1

TSM 18 Jan 2019 $40.00 C

$ 114.00

( $ -1.09 )

#249 : 2018-10-23: Sold to Open 1 Contract of Option TSM Jan 18 2019 40.00 C

I own 100 shares of Taiwan Semiconductor (TSM) at a cost basis of $41.34 per share. I'm willing to sell these shares for $40.00 on or before 18 January:

Open Date :	2018-10-23
Expiration Date :	2019-01-18	Number of Days in Trade :	87
Cost Basis :	$41.34 per share	Gain at Strike Price :	-3.24%
Strike Price :	$40.00 per share	Gain at Strike Price :	-3.24%
Number of Contracts :	1	Number of Shares :	100
Call Premium :	$1.14 per share	Options Income :	$114.00
		Commission :	-$1.09
Net Premium :	$1.129 per share	Net Options Income :	$112.91
Options Yield :	2.73%	Annualized Options Yield :	11.47%
----------------------------	---------------------	-------------------------------	-----------
		Commission if Exercised :	$0.00
Cost Basis if Exercised :	$40.19	Gain if Exercised :	-0.47%

This covered call yields 2.73%, or 11.47% on an annualized basis. The yield on cost of my TSM position is 3.17%, so I'm boosting dividend income by a factor of 3.62. If the option is exercised, I'll sell 100 shares of TSM at a reduced cost basis of $40.19 per share, for a capital loss of 0.47%.

For covered calls, I think an achievable goal is to earn double the dividend yield. The TSM covered call easily doubles the stock's dividend yield.

New Put Contracts

Selling put options allows me to set the price I'm willing to pay for a stock I want to buy. In effect, I get paid while waiting for the share price to drop!

#252	2018-10-29	:	-1	×	IP 21 Dec 2018 $42.50 P	$ 162.00	( $ -0.79 )
#242	2018-10-12	:	-2	×	XEL 21 Dec 2018 $45.00 P	$ 120.00	( $ 0.00 )
#241	2018-10-12	:	-1	×	VZ 16 Nov 2018 $52.50 P	$ 115.00	( $ -0.79 )
#240	2018-10-12	:	-2	×	TSM 16 Nov 2018 $36.00 P	$ 100.00	( $ -1.57 )
#237	2018-10-12	:	-2	×	HRL 21 Dec 2018 $37.50 P	$ 160.00	( $ -0.07 )
#236	2018-10-12	:	-2	×	AFL 18 Jan 2019 $42.50 P	$ 252.00	( $ -1.58 )
#235	2018-10-02	:	-5	×	FLO 16 Nov 2018 $17.50 P	$ 150.00	( $ -0.18 )
#234	2018-10-02	:	-2	×	FL 16 Nov 2018 $50.00 P	$ 620.00	( $ -0.08 )

#252 : 2018-10-29: Sold to Open 1 Contract of Option IP Dec 21 2018 42.50 P

I'm willing to buy 100 shares of International Paper (IP) for $42.50 per share on or before 21 December. IP closed at $43.64 per share on the date of my trade:

Open Date :	2018-10-29
Expiration Date :	2018-12-21	Number of Days in Trade :	53
Price at Close :	$43.64 per share	Discount at Strike Price :	2.61%
Strike Price :	$42.50 per share	Discount at Strike Price :	2.61%
Number of Contracts :	1	Number of Shares :	100
Put Premium :	$1.62 per share	Options Income :	$162.00
		Commission :	-$0.79
Net Premium :	$1.612 per share	Net Options Income :	$161.21
Options Yield :	3.69%	Annualized Options Yield :	25.46%
----------------------------	---------------------	-------------------------------	-----------
		Commission if Exercised :	$0.00
Cost Basis if Exercised :	$40.87	Discount if Exercised :	6.34%

This put option trade yields 3.69%, or 25.46% on an annualized basis. At $43.64 per share, IP yields 4.58%, so I'm boosting dividend income by a factor of 5.55. If the option is exercised, I'll buy 100 shares at a cost basis of $40.87 per share, a discount of 6.34%.

#242 : 2018-10-12: Sold to Open 2 Contracts of Option XEL Dec 21 2018 45.00 P

I'm willing to buy 200 shares of Xcel Energy (XEL) for $45.00 per share on or before 21 December. XEL closed at $47.65 per share on the date of my trade:

Open Date :	2018-10-12
Expiration Date :	2018-12-21	Number of Days in Trade :	70
Price at Close :	$47.65 per share	Discount at Strike Price :	5.56%
Strike Price :	$45.00 per share	Discount at Strike Price :	5.56%
Number of Contracts :	2	Number of Shares :	200
Put Premium :	$0.60 per share	Options Income :	$120.00
		Commission :	$0.00
Net Premium :	$0.600 per share	Net Options Income :	$120.00
Options Yield :	1.26%	Annualized Options Yield :	6.57%
----------------------------	---------------------	-------------------------------	-----------
		Commission if Exercised :	$0.00
Cost Basis if Exercised :	$44.40	Discount if Exercised :	6.82%

This put option trade yields 1.26%, or 6.57% on an annualized basis. At $47.65 per share, XEL yields 3.19%, so I'm boosting dividend income by a factor of 2.06. If the options are exercised, I'll buy 200 shares at a cost basis of $44.40 per share, a discount of 6.82%.

#242 : 2018-10-12: Sold to Open 1 Contract of Option VZ Nov 16 2018 52.50 P

I'm willing to buy 100 shares of Verizon (VZ) for $52.50 per share on or before 16 November. VZ closed at $53.73 per share on the date of my trade:

Open Date :	2018-10-12
Expiration Date :	2018-11-16	Number of Days in Trade :	35
Price at Close :	$53.73 per share	Discount at Strike Price :	2.29%
Strike Price :	$52.50 per share	Discount at Strike Price :	2.29%
Number of Contracts :	1	Number of Shares :	100
Put Premium :	$1.15 per share	Options Income :	$115.00
		Commission :	-$0.18
Net Premium :	$1.148 per share	Net Options Income :	$114.82
Options Yield :	2.14%	Annualized Options Yield :	22.30%
----------------------------	---------------------	-------------------------------	-----------
		Commission if Exercised :	$0.00
Cost Basis if Exercised :	$51.35	Discount if Exercised :	4.43%

This put option trade yields 2.14%, or 22.30% on an annualized basis. At $53.73 per share, VZ yields 4.49%, so I'm boosting dividend income by a factor of 4.97. If the option is exercised, I'll buy 100 shares at a cost basis of $51.35 per share, a discount of 4.43%.

#240 : 2018-10-12: Sold to Open 2 Contracts of Option TSM Nov 16 2018 36.00 P

I'm willing to buy 200 shares of Taiwan Semiconductor (TSM) for $36.00 per share on or before 16 November. TSM closed at $39.66 per share on the date of my trade:

Open Date :	2018-10-12
Expiration Date :	2018-11-16	Number of Days in Trade :	35
Price at Close :	$39.66 per share	Discount at Strike Price :	9.23%
Strike Price :	$36.00 per share	Discount at Strike Price :	9.23%
Number of Contracts :	2	Number of Shares :	200
Put Premium :	$0.50 per share	Options Income :	$100.00
		Commission :	-$1.57
Net Premium :	$0.492 per share	Net Options Income :	$98.43
Options Yield :	1.24%	Annualized Options Yield :	12.95%
----------------------------	---------------------	-------------------------------	-----------
		Commission if Exercised :	$0.00
Cost Basis if Exercised :	$35.49	Discount if Exercised :	10.51%

This put option trade yields 1.24%, or 12.95% on an annualized basis. At $39.66 per share, TSM yields 3.31%, so I'm boosting dividend income by a factor of 3.92. If the options are exercised, I'll buy 200 shares at a cost basis of $35.49 per share, a discount of 10.51%.

#237 : 2018-10-12: Sold to Open 2 Contracts of Option HRL Dec 21 2018 37.50 P

I'm willing to buy 200 shares of Hormel (HRL) for $37.50 per share on or before 21 December. HRL closed at $39.51 per share on the date of my trade:

Open Date :	2018-10-12
Expiration Date :	2018-12-21	Number of Days in Trade :	70
Price at Close :	$39.51 per share	Discount at Strike Price :	5.09%
Strike Price :	$37.50 per share	Discount at Strike Price :	5.09%
Number of Contracts :	2	Number of Shares :	200
Put Premium :	$0.80 per share	Options Income :	$160.00
		Commission :	-$0.07
Net Premium :	$0.800 per share	Net Options Income :	$159.93
Options Yield :	2.02%	Annualized Options Yield :	10.56%
----------------------------	---------------------	-------------------------------	-----------
		Commission if Exercised :	$0.00
Cost Basis if Exercised :	$36.70	Discount if Exercised :	7.11%

This put option trade yields 2.02%, or 10.56% on an annualized basis. At $39.51 per share, HRL yields 1.90%, so I'm boosting dividend income by a factor of 5.56. If the options are exercised, I'll buy 200 shares at a cost basis of $36.70 per share, a discount of 7.11%.

#236 : 2018-10-12: Sold to Open 2 Contracts of Option AFL Jan 18 2019 42.50 P

I'm willing to buy 200 shares of Aflac (AFL) for $42.50 per share on or before 18 January 2019. AFL closed at $44.05 per share on the date of my trade:

Open Date :	2018-10-12
Expiration Date :	2019-01-18	Number of Days in Trade :	98
Price at Close :	$44.05 per share	Discount at Strike Price :	3.52%
Strike Price :	$42.50 per share	Discount at Strike Price :	3.52%
Number of Contracts :	2	Number of Shares :	200
Put Premium :	$1.26 per share	Options Income :	$252.00
		Commission :	-$1.58
Net Premium :	$1.252 per share	Net Options Income :	$250.42
Options Yield :	2.84%	Annualized Options Yield :	10.59%
----------------------------	---------------------	-------------------------------	-----------
		Commission if Exercised :	$0.00
Cost Basis if Exercised :	$41.23	Discount if Exercised :	6.40%

This put option trade yields 2.84%, or 10.59% on an annualized basis. At $44.05 per share, HRL yields 2.36%, so I'm boosting dividend income by a factor of 4.49. If the options are exercised, I'll buy 200 shares at a cost basis of $41.23 per share, a discount of 6.40%.

#235 : 2018-10-02: Sold to Open 5 Contracts of Option FLO Nov 16 2018 17.50 P

I'm willing to buy 500 shares of Flowers Foods (FLO) for $17.50 per share on or before 16 November. FLO closed at $18.61 per share on the date of my trade:

Open Date :	2018-10-02
Expiration Date :	2018-11-16	Number of Days in Trade :	45
Price at Close :	$18.61 per share	Discount at Strike Price :	5.96%
Strike Price :	$17.50 per share	Discount at Strike Price :	5.96%
Number of Contracts :	5	Number of Shares :	500
Put Premium :	$0.30 per share	Options Income :	$150.00
		Commission :	-$0.18
Net Premium :	$0.300 per share	Net Options Income :	$149.82
Options Yield :	1.61%	Annualized Options Yield :	13.07%
----------------------------	---------------------	-------------------------------	-----------
		Commission if Exercised :	$0.00
Cost Basis if Exercised :	$17.20	Discount if Exercised :	7.58%

This put option trade yields 1.61%, or 13.07% on an annualized basis. At $18.61 per share, FLO yields 3.87%, so I'm boosting dividend income by a factor of 3.38. If the options are exercised, I'll buy 500 shares at a cost basis of $17.20 per share, a discount of 7.58%.

#234 : 2018-10-02: Sold to Open 2 Contracts of Option FL Nov 16 2018 50.00 P

I'm willing to buy 200 shares of Foot Locker (FL) for $50.00 per share on or before 16 November. FL closed at $47.08 per share on the date of my trade:

Open Date :	2018-10-02
Expiration Date :	2018-11-16	Number of Days in Trade :	45
Price at Close :	$47.08 per share	Discount at Strike Price :	-6.20%
Strike Price :	$50.00 per share	Discount at Strike Price :	-6.20%
Number of Contracts :	2	Number of Shares :	200
Put Premium :	$3.10 per share	Options Income :	$620.00
		Commission :	-$0.08
Net Premium :	$3.100 per share	Net Options Income :	$619.92
Options Yield :	6.58%	Annualized Options Yield :	53.44%
----------------------------	---------------------	-------------------------------	-----------
		Commission if Exercised :	$0.00
Cost Basis if Exercised :	$46.90	Discount if Exercised :	0.38%

This put option trade yields 6.58%, or 53.44% on an annualized basis. At $47.08 per share, FL yields 2.93%, so I'm boosting dividend income by a factor of 18.23. If the options are exercised, I'll buy 200 shares at a cost basis of $46.90 per share, a discount of 0.38%.

For selling puts, I like to see a dividend boost factor of 5.00 or more unless I can buy shares at a discount of at least 10%. The put options trades on IP, VZ, TSM, HRL, and FL match my standard, but those on XEL, AFL and FLO do not.

Spread Trade

In October, I executed a spread trade on Starbucks (SBUX):

#239	2018-10-12	:	-2	×	SBUX 17 Jan 2020 $55.00 P	$ 966.00	( $ -0.84 )		$ 34,342.73	➤ $ 16,080.73
#238	2018-10-12	:	2	×	SBUX 17 Jan 2020 $75.00 C	$ 0.00	( $ -186.82 )		$ 33,377.57	➤ $ 16,081.57

The market has become quite volatile, providing a good opportunity to sell expensive premiums.

The trade generated a net credit of nearly $3.90 per share or about 35% of margin requirement.

By selling the puts I'm accepting the potential obligation to buy shares of SBUX at $55 if the stock trades for less on 17 January 2020. Because I executed two spread trades, my potential obligation totals $11,000.

Buying the call gives me the right (but not the obligation) to buy SBUX at $75 per share on or before 17 January 2020.

Here are the possible outcomes:

If SBUX trades for less than $55 per share at expiration, the calls would expire worthless. The puts would be exercised and I'll have to buy 200 SBUX shares for $55 per share. Accounting for the $3.90-per-share net credit, I would own SBUX for a net cost of $51.10 per share. That's roughly 9% less than SBUX's closing price on 12 October of $56.45.
If SBUX trades between $55 and $75 per share, both options would expire worthless and I would retain the $3.90 per-share premium for a return on margin of about 35%. That works out to an annualized return of about 26% through options expiration.
If SBUX trades for more than $75 per share before expiration, I'll could exercise the call and buy SBUX at the $75 strike price, and immediately sell those shares for a profit. For example, if SBUX trades at $85 per share, I would make a profit of $10 per share on top of the net credit of $3.90 per share, for a total profit of $13.90 per share. That represents a return on margin of 126%.

I'm looking forward to seeing how this trade turns out!

Options Income Tally

Here is a running tally of the total amount received from options trades, as well as the options premiums secured due to options that expired:

key: expired • closed • rolled • assigned • open

ID	DATE	:	NO	×	TICKER OPTION	INCOME	( EXPENSES )	ROLLED	TOTAL	➤ SECURED
#252	2018-10-29	:	-1	×	IP 21 Dec 2018 $42.50 P	$ 162.00	( $ -0.79 )		$ 39,063.43	➤ $ 16,044.43
#251	2018-10-25	:	-3	×	GILD 18 Jan 2019 $80.00 C	$ 304.00	( $ -1.16 )		$ 38,902.22	➤ $ 16,045.22
#250	2018-10-24	:	-10	×	F 15 Mar 2019 $10.00 C	$ 190.00	( $ -10.32 )		$ 38,599.38	➤ $ 16,046.38
#249	2018-10-23	:	-1	×	TSM 18 Jan 2019 $40.00 C	$ 114.00	( $ -1.09 )		$ 38,419.70	➤ $ 16,056.70
#248	2018-10-19	:	-2	×	PG 18 Jan 2019 $85.00 C	$ 695.00	( $ -0.83 )		$ 38,306.79	➤ $ 16,057.79
#247	2018-10-19	:	-3	×	NKE 18 Jan 2019 $70.00 P	$ 558.00	( $ -3.84 )		$ 37,612.62	➤ $ 16,058.62
#246	2018-10-19	:	-10	×	F 15 Mar 2019 $10.00 C	$ 160.00	( $ -12.77 )		$ 37,058.46	➤ $ 16,062.46
#245	2018-10-12	:	-2	×	WBA 18 Jan 2019 $72.50 C	$ 615.00	( $ -0.83 )		$ 36,911.23	➤ $ 16,075.23
#244	2018-10-12	:	-1	×	JNJ 17 Jan 2020 $150.00 C	$ 518.00	( $ -0.64 )		$ 36,297.06	➤ $ 16,076.06
#243	2018-10-12	:	-2	×	ALK 18 Apr 2019 $62.60 P	$ 1,106.00	( $ -1.67 )		$ 35,779.70	➤ $ 16,076.70
#242	2018-10-12	:	-2	×	XEL 21 Dec 2018 $45.00 P	$ 120.00	( $ 0.00 )		$ 34,675.37	➤ $ 16,078.37
#241	2018-10-12	:	-1	×	VZ 16 Nov 2018 $52.50 P	$ 115.00	( $ -0.79 )		$ 34,555.37	➤ $ 16,078.37
#240	2018-10-12	:	-2	×	TSM 16 Nov 2018 $36.00 P	$ 100.00	( $ -1.57 )		$ 34,441.16	➤ $ 16,079.16
#239	2018-10-12	:	-2	×	SBUX 17 Jan 2020 $55.00 P	$ 966.00	( $ -0.84 )		$ 34,342.73	➤ $ 16,080.73
#238	2018-10-12	:	2	×	SBUX 17 Jan 2020 $75.00 C	$ 0.00	( $ -186.82 )		$ 33,377.57	➤ $ 16,081.57
#237	2018-10-12	:	-2	×	HRL 21 Dec 2018 $37.50 P	$ 160.00	( $ -0.07 )		$ 33,564.39	➤ $ 16,268.39
#236	2018-10-12	:	-2	×	AFL 18 Jan 2019 $42.50 P	$ 252.00	( $ -1.58 )		$ 33,404.46	➤ $ 16,268.46
#235	2018-10-02	:	-5	×	FLO 16 Nov 2018 $17.50 P	$ 150.00	( $ -0.18 )		$ 33,154.04	➤ $ 16,270.04
#234	2018-10-02	:	-2	×	FL 16 Nov 2018 $50.00 P	$ 620.00	( $ -0.08 )		$ 33,004.22	➤ $ 16,270.22
#233	2018-10-02	:	-2	×	ALK 21 Dec 2018 $65.00 P	$ 570.00	( $ -1,047.73 )	→ #243	$ 32,384.30	➤ $ 16,270.30
#232	2018-09-05	:	1	×	MGM 17 Jan 2020 $28.00 P	$ 405.00	( $ -0.64 )		$ 32,862.03	➤ $ 16,748.03
#231	2018-09-05	:	-1	×	GILD 16 Nov 2018 $85.00 C	$ 44.00	( $ -12.14 )	→ #251	$ 32,457.67	➤ $ 16,748.67
#230	2018-08-28	:	-2	×	TJX 18 Apr 2019 $100.00 P	$ 499.00	( $ -1.61 )		$ 32,425.81	➤ $ 16,716.81
#229	2018-08-28	:	-1	×	TJX 18 Apr 2019 $110.00 C	$ 572.00	( $ -0.29 )		$ 31,928.42	➤ $ 16,718.42
#228	2018-08-28	:	-2	×	TGT 19 Oct 2018 $80.00 P	$ 123.00	( $ -0.82 )		$ 31,356.71	➤ $ 16,718.71
#227	2018-08-28	:	-3	×	NKE 19 Oct 2018 $75.00 P	$ 183.00	( $ -91.65 )	→ #247	$ 31,234.53	➤ $ 16,596.53
#226	2018-08-28	:	-10	×	F 18 Jan 2019 $11.00 C	$ 216.00	( $ -81.06 )	→ #250	$ 31,143.18	➤ $ 16,505.18
#225	2018-08-17	:	-2	×	CMCSA 16 Nov 2018 $37.50 C	$ 181.00	( $ -0.82 )		$ 31,008.24	➤ $ 16,370.24
#224	2018-08-10	:	-10	×	F 18 Jan 2019 $11.00 C	$ 210.00	( $ -65.61 )	→ #246	$ 30,828.06	➤ $ 16,371.06
#223	2018-08-06	:	-1	×	UNP 19 Oct 2018 $140.00 P	$ 172.00	( $ -1.59 )		$ 30,683.67	➤ $ 16,226.67
#222	2018-08-06	:	-1	×	HON 21 Sep 2018 $145.00 P	$ 75.00	( $ -1.09 )		$ 30,513.26	➤ $ 16,056.26
#221	2018-08-06	:	-1	×	HD 21 Sep 2018 $185.00 P	$ 177.00	( $ -0.79 )		$ 30,439.35	➤ $ 15,982.35
#220	2018-08-06	:	-1	×	CVS 21 Sep 2018 $65.00 P	$ 222.00	( $ -0.84 )		$ 30,263.14	➤ $ 15,806.14
#219	2018-08-06	:	-2	×	CSCO 19 Oct 2018 $40.00 P	$ 124.00	( $ -2.57 )		$ 30,041.98	➤ $ 15,584.98
#218	2018-08-06	:	-2	×	BBY 21 Sep 2018 $70.00 P	$ 324.00	( $ -0.98 )		$ 29,920.55	➤ $ 15,463.55
#217	2018-08-06	:	-2	×	ADM 21 Dec 2018 $45.00 P	$ 124.00	( $ -0.73 )		$ 29,597.53	➤ $ 15,140.53
#216	2018-07-30	:	-1	×	MGM 21 Sep 2018 $31.00 P	$ 144.00	( $ -350.42 )	→ #232	$ 29,474.26	➤ $ 15,141.26
#215	2018-07-26	:	-1	×	MKC 21 Dec 2018 $115.00 P	$ 353.00	( $ -20.45 )		$ 29,680.68	➤ $ 15,347.68
#214	2018-07-20	:	-2	×	WSM 16 Nov 2018 $60.00 P	$ 717.00	( $ 0.00 )		$ 29,348.13	➤ $ 15,015.13
#213	2018-07-18	:	-1	×	HSY 24 Aug 2018 $91.00 P	$ 229.00	( $ -0.62 )		$ 28,631.13	➤ $ 15,015.13
#212	2018-06-20	:	-2	×	SBUX 17 Jan 2020 $50.00 P	$ 915.00	( $ -2.57 )		$ 28,402.75	➤ $ 14,786.75
#211	2018-06-20	:	-1	×	HSY 20 Jul 2018 $92.00 P	$ 194.00	( $ -65.41 )	→ #213	$ 27,490.32	➤ $ 14,789.32
#210	2018-06-20	:	-3	×	GIS 17 Jan 2020 $42.50 P	$ 1,224.00	( $ -1.49 )		$ 27,361.73	➤ $ 14,660.73
#209	2018-06-20	:	3	×	GIS 17 Jan 2020 $60.00 C	$ 0.00	( $ -235.46 )		$ 26,139.22	➤ $ 14,662.22
#208	2018-06-14	:	-2	×	TGT 19 Oct 2018 $70.00 P	$ 355.00	( $ -20.43 )	→ #228	$ 26,374.68	➤ $ 14,897.68
#207	2018-06-14	:	-3	×	NKE 19 Oct 2018 $65.00 P	$ 264.00	( $ -31.18 )	→ #227	$ 26,040.11	➤ $ 14,563.11
#206	2018-06-14	:	-20	×	F 18 Jan 2019 $12.00 C	$ 1,383.00	( $ -306.09 )		$ 25,807.29	➤ $ 14,330.29
#205	2018-06-14	:	-2	×	WBA 19 Oct 2018 $70.00 C	$ 288.00	( $ -413.80 )	→ #245	$ 24,730.38	➤ $ 13,253.38
#204	2018-06-14	:	-1	×	TSM 18 Jan 2019 $45.00 C	$ 55.00	( $ -0.34 )		$ 24,856.18	➤ $ 13,379.18
#203	2018-06-14	:	-1	×	TRV 19 Oct 2018 $140.00 C	$ 124.00	( $ -1.09 )		$ 24,801.52	➤ $ 13,379.52
#202	2018-06-14	:	-1	×	TJX 19 Oct 2018 $105.00 C	$ 90.00	( $ -398.62 )	→ #229	$ 24,678.61	➤ $ 13,256.61
#201	2018-06-14	:	-2	×	T 19 Oct 2018 $36.00 C	$ 94.00	( $ -1.58 )		$ 24,987.23	➤ $ 13,565.23
#200	2018-06-14	:	-1	×	RDS.B 18 Jan 2019 $80.00 C	$ 115.00	( $ -30.67 )		$ 24,894.81	➤ $ 13,472.81
#199	2018-06-14	:	-2	×	PG 19 Oct 2018 $85.00 C	$ 74.00	( $ -233.80 )	→ #248	$ 24,810.48	➤ $ 13,388.48
#198	2018-06-14	:	-1	×	LOW 18 Jan 2019 $120.00 C	$ 110.00	( $ -0.79 )		$ 24,970.28	➤ $ 13,548.28
#197	2018-06-14	:	-1	×	JNJ 21 Dec 2018 $135.00 C	$ 150.00	( $ -407.72 )	→ #244	$ 24,861.07	➤ $ 13,549.07
#196	2018-06-14	:	-2	×	GILD 16 Nov 2018 $85.00 C	$ 166.00	( $ -23.68 )	→ #251	$ 25,118.79	➤ $ 13,806.79
#195	2018-06-14	:	-2	×	DIS 19 Oct 2018 $125.00 C	$ 116.00	( $ -1.58 )		$ 24,976.47	➤ $ 13,664.47
#194	2018-06-14	:	-2	×	CMCSA 17 Aug 2018 $35.00 C	$ 164.00	( $ -85.40 )	→ #225	$ 24,862.05	➤ $ 13,550.05
#193	2018-06-14	:	-1	×	BUD 21 Dec 2018 $115.00 C	$ 85.00	( $ -12.57 )		$ 24,783.45	➤ $ 13,471.45
#192	2018-06-14	:	-1	×	AAPL 20 Jul 2018 $200.00 C	$ 122.00	( $ -1.09 )		$ 24,711.02	➤ $ 13,399.02
#191	2018-06-12	:	-2	×	TPR 20 Jul 2018 $45.00 P	$ 140.00	( $ -8.76 )		$ 24,590.11	➤ $ 13,278.11
#190	2018-06-12	:	-1	×	MKC 21 Sep 2018 $100.00 P	$ 185.00	( $ -18.36 )	→ #215	$ 24,458.87	➤ $ 13,146.87
#189	2018-06-12	:	-2	×	AEO 17 Aug 2018 $24.00 P	$ 180.00	( $ -9.17 )		$ 24,292.23	➤ $ 12,980.23
#188	2018-05-24	:	-2	×	WSM 17 Aug 2018 $47.50 P	$ 240.00	( $ -12.08 )	→ #214	$ 24,121.40	➤ $ 12,809.40
#187	2018-05-24	:	-2	×	TJX 19 Oct 2018 $82.50 P	$ 380.00	( $ -17.28 )	→ #230	$ 23,893.48	➤ $ 12,581.48
#186	2018-05-24	:	-2	×	TGT 20 Jul 2018 $67.50 P	$ 224.00	( $ -32.79 )	→ #208	$ 23,530.76	➤ $ 12,218.76
#185	2018-05-24	:	-2	×	HSY 15 Jun 2018 $91.00 P	$ 236.00	( $ -0.74 )		$ 23,339.55	➤ $ 12,027.55
#184	2018-05-11	:	-1	×	WMT 21 Jun 2019 $82.50 P	$ 667.00	( $ -0.64 )		$ 23,104.29	➤ $ 11,792.29
#183	2018-05-11	:	-1	×	VLO 17 Jan 2020 $90.00 C	$ 2,935.00	( $ -0.69 )		$ 22,437.93	➤ $ 11,792.93
#182	2018-05-11	:	-1	×	PG 17 Jan 2020 $72.50 P	$ 633.00	( $ -179.71 )		$ 19,503.62	➤ $ 11,793.62
#181	2018-05-11	:	-1	×	MO 21 Jul 2019 $55.00 P	$ 579.00	( $ -0.63 )		$ 19,050.33	➤ $ 11,340.33
#180	2018-05-11	:	-3	×	GPS 21 Dec 2018 $29.00 P	$ 912.00	( $ -1.45 )		$ 18,471.96	➤ $ 11,340.96
#179	2018-05-11	:	-2	×	DIS 17 Jan 2020 $100.00 P	$ 1,845.00	( $ -1.15 )		$ 17,561.41	➤ $ 11,342.41
#178	2018-05-11	:	2	×	DIS 17 Jan 2020 $130.00 C	$ 0.00	( $ -712.11 )		$ 15,717.56	➤ $ 11,343.56
#177	2018-04-20	:	-3	×	GLW 18 Jan 2019 $27.00 P	$ 618.00	( $ -102.32 )		$ 16,429.67	➤ $ 12,055.67
#176	2018-04-20	:	-1	×	PG 18 Jan 2019 $77.50 P	$ 627.00	( $ -672.25 )	→ #182	$ 15,913.99	➤ $ 11,539.99
#175	2018-04-20	:	-1	×	MO 20 Jul 2018 $60.00 P	$ 438.00	( $ -505.25 )	→ #181	$ 15,959.24	➤ $ 11,585.24
#174	2018-04-20	:	-3	×	KBH 18 Jan 2019 $30.00 P	$ 1,494.00	( $ -1.46 )		$ 16,026.49	➤ $ 11,652.49
#173	2018-04-06	:	-1	×	WMT 18 May 2018 $87.50 P	$ 304.00	( $ -508.25 )	→ #184	$ 14,533.95	➤ $ 10,159.95
#172	2018-04-06	:	-2	×	DIS 18 May 2018 $110.00 C	$ 116.00	( $ -1.38 )		$ 14,738.20	➤ $ 10,364.20
#171	2018-03-23	:	-3	×	XLRE 18 May 2018 $29.00 P	$ 120.00	( $ -0.18 )		$ 14,623.58	➤ $ 10,249.58
#170	2018-03-23	:	-2	×	APC 18 May 2018 $57.50 P	$ 290.00	( $ -0.99 )		$ 14,503.76	➤ $ 10,129.76
#169	2018-03-22	:	-3	×	PFE 18 May 2018 $34.00 P	$ 141.00	( $ -1.47 )		$ 14,214.75	➤ $ 9,840.75
#168	2018-03-22	:	-3	×	GPS 18 May 2018 $31.00 P	$ 447.00	( $ -551.90 )	→ #180	$ 14,075.22	➤ $ 9,701.22
#167	2018-03-14	:	-6	×	WEN 18 May 2018 $16.00 P	$ 270.00	( $ -0.25 )		$ 14,180.12	➤ $ 9,806.12
#166	2018-03-14	:	-2	×	STLD 18 May 2018 $46.00 P	$ 410.00	( $ -0.69 )		$ 13,910.37	➤ $ 9,536.37
#165	2018-03-14	:	-1	×	RS 20 Apr 2018 $87.50 P	$ 170.00	( $ -0.34 )		$ 13,501.06	➤ $ 9,127.06
#164	2018-03-14	:	-3	×	PFE 15 Jun 2018 $34.00 P	$ 150.00	( $ -1.47 )		$ 13,331.40	➤ $ 8,957.40
#163	2018-03-14	:	10	×	NEE 20 Apr 2018 $150.00 P	$ 0.00	( $ -1,055.63 )		$ 13,182.87	➤ $ 8,808.87
#162	2018-03-14	:	-10	×	NEE 20 Apr 2018 $155.00 P	$ 2,153.00	( $ -5.70 )		$ 14,238.50	➤ $ 9,864.50
#161	2018-03-14	:	-2	×	KMB 17 Jan 2020 $100.00 P	$ 1,503.00	( $ -0.11 )		$ 12,091.20	➤ $ 7,717.20
#160	2018-03-14	:	2	×	KMB 17 Jan 2020 $135.00 C	$ 0.00	( $ -783.14 )		$ 10,588.31	➤ $ 7,717.31
#159	2018-03-14	:	-2	×	HOG 18 May 2018 $40.00 P	$ 186.00	( $ -0.98 )		$ 11,371.45	➤ $ 8,500.45
#158	2018-03-14	:	-3	×	GLW 20 Apr 2018 $29.00 P	$ 141.00	( $ -465.32 )	→ #177	$ 11,186.43	➤ $ 8,315.43
#157	2018-03-14	:	-1	×	BUD 18 May 2018 $105.00 P	$ 200.00	( $ -0.79 )		$ 11,510.75	➤ $ 8,639.75
#156	2018-02-26	:	-2	×	ABBV 17 Jan 2020 $100.00 C	$ 5,508.00	( $ -822.21 )		$ 11,311.54	➤ $ 8,440.54
#155	2018-02-26	:	-1	×	WMT 06 Apr 2018 $90.00 P	$ 130.00	( $ -221.61 )	→ #173	$ 6,625.75	➤ $ 3,754.75
#154	2018-02-26	:	-1	×	LOW 20 Apr 2018 $92.50 P	$ 196.00	( $ -0.79 )		$ 6,717.36	➤ $ 3,846.36
#153	2018-02-26	:	5	×	HD 20 Apr 2018 $185.00 P	$ 0.00	( $ -4,827.70 )		$ 6,522.15	➤ $ 3,651.15
#152	2018-02-26	:	-5	×	HD 20 Apr 2018 $190.00 P	$ 3,450.00	( $ -2.79 )		$ 11,349.85	➤ $ 8,478.85
#151	2018-02-23	:	-2	×	SBUX 18 May 2018 $52.50 P	$ 194.00	( $ -0.98 )		$ 7,902.64	➤ $ 5,031.64
#150	2018-02-23	:	-1	×	PG 20 Apr 2018 $80.00 P	$ 171.00	( $ -562.41 )	→ #176	$ 7,709.62	➤ $ 4,838.62
#149b	2018-02-23	:	-1	×	MO 20 Apr 2018 $60.00 P	$ 72.00	( $ -267.16 )	→ #175	$ 8,101.03	➤ $ 5,230.03
#149a	2018-02-23	:	-1	×	MO 20 Apr 2018 $60.00 P	$ 72.00	( $ -0.54 )		$ 8,296.19	➤ $ 5,425.19
#148	2018-02-23	:	-2	×	HRL 15 Jun 2018 $32.50 P	$ 304.00	( $ -0.01 )		$ 8,224.73	➤ $ 5,353.73
#147	2018-02-23	:	-2	×	EEM 18 May 2018 $46.00 P	$ 156.00	( $ -2.42 )		$ 7,920.74	➤ $ 5,049.74
#146	2018-02-23	:	-2	×	DIS 06 Apr 2018 $112.00 C	$ 142.00	( $ -0.74 )		$ 7,767.16	➤ $ 4,896.16
#145	2018-02-23	:	-3	×	BAC 18 May 2018 $29.00 P	$ 150.00	( $ -1.47 )		$ 7,625.90	➤ $ 4,754.90
#144	2018-02-23	:	-2	×	AAPL 18 May 2018 $155.00 P	$ 374.00	( $ -2.43 )		$ 7,477.37	➤ $ 4,606.37
#143	2018-02-16	:	-3	×	NKE 20 Jul 2018 $60.00 P	$ 441.00	( $ -20.73 )	→ #207	$ 7,105.80	➤ $ 4,234.80
#142	2018-02-16	:	-2	×	GILD 15 Jun 2018 $85.00 C	$ 678.00	( $ -11.15 )		$ 6,685.53	➤ $ 3,814.53
#141	2018-01-12	:	6	×	WYNN 16 Mar 2018 $155.00 P	$ 0.00	( $ -2,708.04 )		$ 6,018.68	➤ $ 3,147.68
#140	2018-01-12	:	-6	×	WYNN 16 Mar 2018 $160.00 P	$ 3,791.00	( $ -3.14 )		$ 8,726.72	➤ $ 5,855.72
#139	2018-01-12	:	6	×	RL 20 Apr 2018 $100.00 P	$ 0.00	( $ -2,427.25 )		$ 4,938.86	➤ $ 2,067.86
#138	2018-01-12	:	-6	×	RL 20 Apr 2018 $105.00 P	$ 3,566.00	( $ -3.34 )		$ 7,366.11	➤ $ 4,495.11
#137	2018-01-12	:	8	×	JPM 16 Mar 2018 $105.00 P	$ 0.00	( $ -842.23 )		$ 3,803.45	➤ $ 932.45
#136	2018-01-12	:	-8	×	JPM 16 Mar 2018 $110.00 P	$ 1,864.00	( $ -10.29 )		$ 4,645.68	➤ $ 1,774.68
#135	2018-01-12	:	-3	×	KSS 16 Mar 2018 $55.00 P	$ 405.00	( $ -0.14 )		$ 2,791.97	➤ $ -79.03
#134b	2018-01-11	:	-3	×	QCOM 17 Jan 2020 $65.00 C	$ 2,355.00	( $ -1.54 )		$ 2,387.11	➤ $ -483.89
#134a	2018-01-10	:	-1	×	QCOM 17 Jan 2020 $65.00 C	$ 785.00	( $ -1,101.29 )		$ 33.65	➤ $ -482.35
#133	2018-01-10	:	-20	×	F 17 Jan 2020 $12.00 C	$ 3,720.00	( $ -2,558.96 )	→ #206	$ 349.94	➤ $ -166.06
#132	2018-01-10	:	-2	×	KO 18 Jan 2019 $47.00 C	$ 414.00	( $ -109.56 )		$ -811.10	➤ $ -1,327.10
#131	2018-01-10	:	-3	×	TGT 16 Mar 2018 $60.00 P	$ 144.00	( $ -1.48 )		$ -1,115.54	➤ $ -1,631.54
#130	2018-01-10	:	-3	×	KBH 20 Apr 2018 $31.00 P	$ 306.00	( $ -1,283.91 )	→ #174	$ -1,258.06	➤ $ -1,774.06
#129	2018-01-10	:	-2	×	FAST 18 May 2018 $50.00 P	$ 350.00	( $ 0.00 )		$ -280.15	➤ $ -796.15
#128	2018-01-10	:	-1	×	AXP 20 Apr 2018 $100.00 P	$ 330.00	( $ -0.80 )		$ -630.15	➤ $ -1,146.15
#127	2017-11-30	:	-2	×	EEM 19 Jan 2018 $46.00 P	$ 234.00	( $ -0.85 )		$ -959.35	➤ $ -1,475.35
#126	2017-11-30	:	-2	×	BBT 16 Mar 2018 $50.00 P	$ 130.00	( $ -0.98 )		$ -1,192.50	➤ $ -1,708.50
#125	2017-11-21	:	-3	×	X 19 Jan 2018 $26.00 P	$ 252.00	( $ -2.09 )		$ -1,321.52	➤ $ -1,837.52
#124	2017-11-21	:	-2	×	RL 19 Jan 2018 $80.00 P	$ 150.00	( $ -0.09 )		$ -1,571.43	➤ $ -2,087.43
#123	2017-11-21	:	-3	×	BAC 19 Jan 2018 $25.00 P	$ 120.00	( $ -2.23 )		$ -1,721.34	➤ $ -2,237.34
#122	2017-11-17	:	-1	×	VLO 18 Jan 2019 $80.00 C	$ 892.00	( $ -3,535.26 )	→ #183	$ -1,839.11	➤ $ -2,355.11
#121	2017-11-17	:	-3	×	NKE 20 Apr 2018 $50.00 P	$ 208.00	( $ -31.15 )	→ #143	$ 804.15	➤ $ 288.15
#120	2017-11-17	:	-2	×	AAPL 16 Feb 2018 $150.00 P	$ 376.00	( $ -1.60 )		$ 627.30	➤ $ 111.30
#119	2017-11-17	:	-2	×	WBA 15 Dec 2017 $70.00 P	$ 244.00	( $ -0.99 )		$ 252.90	➤ $ -263.10
#118	2017-11-17	:	-2	×	TXN 16 Mar 2018 $85.00 P	$ 200.00	( $ -0.99 )		$ 9.89	➤ $ -506.11
#117	2017-11-17	:	-2	×	MO 19 Jan 2018 $62.50 P	$ 140.00	( $ -0.99 )		$ -189.12	➤ $ -705.12
#116b	2017-10-20	:	-1	×	INTC 17 Jan 2020 $40.00 C	$ 516.00	( $ -1,691.18 )		$ -328.13	➤ $ -844.13
#116a	2017-10-20	:	-1	×	INTC 17 Jan 2020 $40.00 C	$ 516.00	( $ -0.51 )		$ 847.04	➤ $ 331.04

key: expired • closed • rolled • assigned • open

For a complete listing of all options transactions, please visit my Options History page.

Concluding Remarks

October was a great month and, as far as secured options income is secured, I'm back in positive territory for 2018! My year-end target for secured options income is $23,420. With $16,044 in options income secured, I need to secure another $7,376 in November and December.

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