Here’s an update on the transactions:
In the Power Funds Account:
Bought 200 QID (Short QQQ) @ $46.74 and Sold 2 QIDDU (April $47 Strikes) for $1.20 to earn 2.5% return. As of close of business today, QID will likely close below strike price so my options will expired worthless. UPDATE: CLOSED AT $43.22
Plan of action: Sell 2 more contracts for May $47 strikes or July $47 strikes.
In the Mini Funds Account:
Bought 200 DDM (Double Long Dow) @ $74.60 and Sold 2 DDMDW (April $75 strikes) for $2.05 to earn 2.65% return. As of close of business today, DDM will likely close above strike price so my options will be assigned and I’ll be in 100% cash. UPDATE: CLOSED $77.80
Plan of Action: Look for opportunities, perhaps XHB or SSO.
In the Arbitrage Account:
Bought 400 XHB (Home Builders) @ $22.72 and Sold 4 XXJDW (April $23 Strikes) for $0.70 to earn 3% return. As of close of business today, XHB will likely close above strike so my options will be assigned and I’ll be in cash. UPDATE: CLOSED $22.86
Plan of Action:
Look for opportunities, perhaps XHB or SSO. Sell more XHB calls!
Here is the ETF-Cashinator report for looking at May 2008.
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