March 25, 2020 - MDT Alert (AGNC)

AGNC, like a lot of stocks, has made a nice bounce since it bottomed out with the rest of the market.

There is a good possibility it may have peaked out here in the short term.

Therefore, I would like to take this opportunity to collect some call premium.

The last price for the April 3rd - $13.50 call for $0.80

My suggestion is to sell them at $0.80.

These are the calls that expire next Friday.

Assuming you collect the 80 cents, it will mean you would have collected $1.20 in call premium on this position.

If these calls are assigned next Friday, the total return would be 13%.

/by

Legal Disclaimer

There is a very high degree of risk involved in trading. Past results are not indicative of future returns. MadHedgeFundTrader.com and all individuals affiliated with this site assume no responsibilities for your trading and investment results. The indicators, strategies, columns, articles and all other features are for educational purposes only and should not be construed as investment advice. Information for futures trading observations are obtained from sources believed to be reliable, but we do not warrant its completeness or accuracy, or warrant any results from the use of the information. Your use of the trading observations is entirely at your own risk and it is your sole responsibility to evaluate the accuracy, completeness and usefulness of the information. You must assess the risk of any trade with your broker and make your own independent decisions regarding any securities mentioned herein. Affiliates of MadHedgeFundTrader.com may have a position or effect transactions in the securities described herein (or options thereon) and/or otherwise employ trading strategies that may be consistent or inconsistent with the provided strategies.

March 25, 2020 - MDT Pro Tips A.M. March 26, 2020 - MDT Pro Tips A.M.

This site uses cookies. By continuing to browse the site, you are agreeing to our use of cookies.

OKLearn more