I would like to make one final suggestion today before the market closes.
And it will be on a stock we just recently traded. The stock is Clovis Oncology, Inc. (CLVS).
As you know, CLVS has weekly options and I would like to suggest a weekly covered call.
CLVS made a nice run after the last alert and has pulled back to a point where it appears to be setting up again.
The idea is to buy CLVS and sell next week's options against the long stock position.
Buy CLVS at the market, which is $5.77.
Then Sell to Open (1) October 2nd - $6.00 Call for every 100 shares you own.
You should be able to sell them for $0.26 per every option.
If the calls are assigned next Friday, the return will be about 8.4% for one week.
Based on the nominal portfolio, limit the buy in to 700 shares, which is 4% of the portfolio.