June Trades Reviews

All Jun ER2 options expired nicely on Friday as the Russell 2000 index closed at 848.19 on positive inflation data. For next month's set up, some Jul 650, 670, 675 puts were written. Additional ACH covered calls plays were constructed to set up for Jun' income. The aquisition news proves positive for the counter as Aluminum Corp. of China Ltd. was the biggest percentage gainer Friday, rising $3.76, or 9.7 percent, to $42.51, after hitting an annual high of $42.64 during the session. The stock had previously traded between $15.52 and $39.63 over the past year. I would most certainly be called out on these CC positions on expiration day. In fact, I am looking to close out some ACH positions earlier based on the delta effect. NVDA, INTC, DELL are now all above their original price which is ok. You can see I am not too excited here & I will tell you why. You see, I would have to implement some recovery strategy for these positions because in order to close out this positions, I would have to buy back the options which I have sold at a loss. The other way is to just sit tight, do nothing & be exercised in Jan08 & take whatever small profit but this means that funds will be "stuck" & not be best utilised from now till Jan08. CSCO & GG are still below their original purchase price which is alright & means that I can continue to write secondary call options for future months. I will be looking to opening Nikkei 225 Aug & Sep calls & ER2 Jul calls in the coming weeks. Overall, this has been another good month of trading. I don't know about you but steady consistent gains month on month works for me.