As part of morphing from a straight “buy stock on buy days and sell at Profit Target” I’ve chosen to sell Cash Secured Puts (CSP’s) when a dividend date is not near. This is a more efficient way of entering a position or taking the PT profit without ever owning the stock.

At the end of this notice is part of my journal entry for this trade. Questions (or critiques!) are ALWAYS welcome. I include the journal notes to sort of document the changes occurring in my version of TtP-S.

TtP-S	As of: 07/08/15 10:35 TtP-S Alert Display Format 2 Version 2.1
Moderator Message (if any): Today’s Buys & Sells. Pete A							SPY	DIA
						Previous Close	208.02	177.63
						Current Price	205.48	175.71
						Day Low	204.92	175.25
						% Chg from Prev Close	-1.49%	-1.34%
						Buy Day!
						(Based on low of the day)
Today’s Buys/Sells
Ticker	Buy Price	Buy Date	Profit Target	Sell Price	Sell Date	Profit Percent	Annualized RoI %	Current Position
QCOM	60.50	2015-07-08	62.32	– –	– –	– –	– –	Bought

QCOM – 7/8/2015 Sell CSP

Wednesday, July 08, 2015

9:36 AM

Logic is to get nearly the amount or better of a TtP-S Target while still setting the strike as far below current price as possible AND having as few days to Expiry as possible AND with an Annualized return as high as possible. This has $1.35 protection.

Here is the best balance I could find:

7/8/2015 9:38 AM – Screen Clipping

The current prices are:

7/8/2015 9:39 AM – Screen Clipping

The actual trade wasn’t as good, as I tried for the mid price in the puts, of 1.22. Ended up with 1.15. Lesson is to take the lower price? But got more than the 1.18 at the lower end…no good lesson, I guess:

7/8/2015 10:09 AM – Screen Clipping

7/8/2015 10:11 AM – Screen Clipping

7/8/2015 11:05 AM – Screen Clipping