Good week for the account with a net gain of 4.2%. We didn’t add or eliminate any positions. Nice rebound by Dexcom (DXCM) helped with the performance.
Six of the seven positions are profitable. PYPL remains our only negative position. PYPL stock had a good week…but we were short $195 calls so didn’t get to benefit in the rally. It was another week when our cautious position of selling “in the money calls” left money on the table. The DXCM roll up on Friday from $400 to $420 was really surprising. Rolling up $20 we generated a credit premium of $17.51…..pretty amazing. Someone is optimistic about where DXCM stock will be by Nov 20 (has to be $420 +$17.51 = $437.51 for them to break even vs current $405). In my Schwab account I rolled to Dexcom $450’s.
Prior to making the trades on Friday I was expecting to exit positions with monthly options and wait until after the election before starting new ones….and then I saw the premiums and couldn’t resist rolling. I might regret the trades post election…..