Comments on: Closing Out JRCC http://livingoffdividends.com/2007/05/09/closing-out-jrcc/ Join me on my journey to achieve financial independence through dividends, passive income and investments Tue, 13 Dec 2011 07:31:37 -0800 http://wordpress.org/?v=2.8.1 hourly 1 By: Adventures In Money Making http://livingoffdividends.com/2007/05/09/closing-out-jrcc/comment-page-1/#comment-623 Adventures In Money Making Thu, 10 May 2007 09:20:00 +0000 http://www.livingoffdividends.com/2007/05/09/closing-out-jrcc/#comment-623 Oh and i also closed out my June $35 naked puts on STP for a 90% profit.<br/><br/>i still have july $30 naked puts, but if it drops below 30 i'll buy them.<br/><br/>I owned STP for awhile but sold it once it started to look like it was trading in a range between 35-39 which its been doing for a while.<br/><br/>The naked puts were a way to get back in cheaper. Oh and i also closed out my June $35 naked puts on STP for a 90% profit.

i still have july $30 naked puts, but if it drops below 30 i’ll buy them.

I owned STP for awhile but sold it once it started to look like it was trading in a range between 35-39 which its been doing for a while.

The naked puts were a way to get back in cheaper.

]]> By: Adventures In Money Making http://livingoffdividends.com/2007/05/09/closing-out-jrcc/comment-page-1/#comment-622 Adventures In Money Making Thu, 10 May 2007 03:44:00 +0000 http://www.livingoffdividends.com/2007/05/09/closing-out-jrcc/#comment-622 its one of those "it works until it doesn't" schemes ;-)<br/><br/>you're absolutely right, which is why risk management is key. In case of bankrupcy, the worst-case loss was $805 per contract and the total loss would have been less than half a percent of total networth. <br/><br/>any loss that doesn't force you to BK is a good loss! its one of those “it works until it doesn’t” schemes ;-)

you’re absolutely right, which is why risk management is key. In case of bankrupcy, the worst-case loss was $805 per contract and the total loss would have been less than half a percent of total networth.

any loss that doesn’t force you to BK is a good loss!

]]> By: mOOm http://livingoffdividends.com/2007/05/09/closing-out-jrcc/comment-page-1/#comment-621 mOOm Thu, 10 May 2007 02:12:00 +0000 http://www.livingoffdividends.com/2007/05/09/closing-out-jrcc/#comment-621 It's great that this worked out! Selling naked puts is a very profitable strategy until there is a crash and you can't get out in time. It's a worse than a covered call then because volatility rises and the puts get more expensive to buy back. With the covered call you just need to sell the stock which results in a smaller loss. It’s great that this worked out! Selling naked puts is a very profitable strategy until there is a crash and you can’t get out in time. It’s a worse than a covered call then because volatility rises and the puts get more expensive to buy back. With the covered call you just need to sell the stock which results in a smaller loss.

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