Letās break this down in simple terms so you can clearly see how this works. š§ The Setup (What We Did) - Stock: Coca-Cola (KO) - We own: 300 shares - Sold: 3 Ć $80 Calls - Expiration: Apr 17, 2026 - Premium collected: $267.99 š Think of this as collecting 3 deposits upfront š Where We Are Now - Days left: 3 - Current option value: $2.00 per contract - Total to close: $6.00 - Profit: +$261.99 - Return: ~97% max profit š” What This Means We sold 3 contracts and collected $267.99 total Now those same contracts are only worth $6 combined š That means: - The buyer lost almost all the value - Weāve already captured almost the full profit š Why We Close Early Even with a few days left⦠We donāt wait around for the last few dollars. We close because: - ā 97% of profit is already captured - ā Avoid last-minute volatility - ā Lock in gains - ā Free up capital for the next trade š° The Reality - Collected: $267.99 - Cost to close: $6.00 š Net Profit: ~$261.99 šÆ The Big Lesson This is the real edge: Donāt chase the last few dollarsTake the win and move on
Netflix Inc. earnings are coming up and IV is high (~77%) ā ideal for selling premium. š° The Play (Weekly) - Exp: Apr 17 (4 days) - Strike: $109 Call - Premium: ~$1.23 - 4 contracts = ~$492 income ā” Why this works - Weekly = fast decay - High IV = bigger premium - Positioned for post-earnings IV crush š Outcomes - Below $109 ā keep $492 - Above $109 ā sell shares + keep $492 - Drop ā premium cushions š§ Takeaway Get paid when volatility is high.
Good morning everyone, I just placed a new Covered Call trade on VG, Venture Global. I sold 22 contracts of the May 15 2026 $15 strike. I collected before commissions , $95 a contract for a total of $2090. The stock is currently trading at $13.23. Will revisit this trade in a few weeks.
Hey guys, I just wanted to give you an update on the VG $15 April 17 calls that I sold 23 days ago. At the time, VG was running hot and had a 14 day RSI of over 73., I sold 22 contracts of the April 17th expiration $15 strike for $155 a contract . Today I closed those out for $12 a contract for a gross profit of $3,146! Nothing fancy just a solid covered call trade.
Just dropped our first Stock Talk episode šļø Weāre breaking down real covered calls ā when to stay in, when to close, and how we think through it. š Watch here: https://www.skool.com/covered-call-capital-2573/classroom/0cbd7394?md=7e8bed63d4e4408f9465dc03b300e97b Let us know what you want to see next.