While the Diary of a Mad Hedge Fund Trader focuses on investment over a one week to the six-month time frame, Mad Day Trader, provided by Bill Davis, will exploit money-making opportunities over a brief ten minute to three-day window. It is ideally suited for day traders, but can also be used by long-term investors to improve market timing for entry and exit points.
RRC has bounced back to a price area where we can collect some call premium and that is what I am going to suggest today.
Sell to Open (1) February 15th - $12.00 call for every 100 shares you own.
You should be able to sell them for $0.25.
If these calls are assigned in two weeks, the return will be 4.3%.
That is on top of the premium you should have already collected.