March Expiration
Clearly it has been a crazy month of market declines. And while we have sold some positions, I have held many others as our call premiums have somewhat covered up some of the stock declines.
Today I want to address the two positions which have March options expiring today. We are going to adjust one position, and will wait to adjust another till next week.
Atlassian (TEAM) looks “good” when compared to 98% of the stocks out there right now. Because of this, I am going Buy to Close the March 155 calls that we sold for $5.70 for $0.10 or less, and Sell to Open the April 150 Calls (exp. 4/17/2020) for $3.00 or more. (please note these stocks and options are volatile, so don’t get tied to my exact prices)
After this adjustment, your position will be:
Long TEAM stock
Short April 150 Calls
The position we are not yet going to adjust is Morgan Stanley (MS). The stock, like its financial stock peers, looks dreadful for now, so I will simply let the March 57.5 calls expire worthless today. You will not need to adjust this position today.
If you have any questions about these instructions, please don’t hesitate to email me.