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Strategies & Market Trends : Calls and Puts for Income

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To: dealmakr who wrote (5811)10/24/2013 3:31:14 PM
From: Jim P.  Read Replies (1) of 5891
 
POT trading pretty well with the lower guidance. I sold December $32 puts last week for $1.22 and think this is a very good area to sell covered calls. Should be relatively easy to bring the 4% yield up quite a bit with option premiums.
A pretty large position for me at 20 puts but I think the dividend is relatively safe, company is buying back shares and the capital projects are going to be lower going forward.
jim
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