[Options] Monthly Positions Review - September

Sean McLaughlin
September 3, 2021

Once again this month, I’m going to share info on positions that were closed in the month of August. As a reminder, our exit plans are always laid out ahead of time in each trade idea we publish. In every case, the exits mentioned below were all in accordance with the plans as laid out.

As we head towards September expiration, we have three open positions remaining with expiring September options that need our attention. Most of our delta-neutral premium-selling plays worked out in August, which makes sense considering the slow markets we just endured. Let's dive in.

Positions with September options that need monitoring:

  • $IEF Long Sept 117 Calls: This one teased us a couple times with what looked like a couple attempts at a massive breakout. As least we were able to sell half of our position when it doubled on June 7. Since then $IEX has pretty much traded sideways and is currently trading right at our strike price. With the remaining premiums started to rapidly erode, we're exiting the remaining position here the credit we receive represents our total profits in the trade.
  • $STX Long Sept 90 Calls: Basically the exact same story as above. Looked good for a bit, we sold half, and the stock has since gone sideways, currently right at our strike price. We're exiting here and booking the profit.
  • $CVX Long Sept 110/115 Bull Call Spread: This position which we entered on Feb 17th was looking great in March and April. Since then, $CVX has languished and now our entire spread is out-of-the-money. But there's still some premium left to salvage here so we're taking it and closing the trade.

Positions adjusted in August:

  • $MS Long February 110 calls: We were able to sell half of our calls at a double on 8/9. Now we're free-riding on the rest into February!
  • $MWA Long Nov 17.50 calls: We were able to sell half of our calls at a double on 8/5. Now we're free-riding on the rest into November!

Positions exited for a win in August: $IT (8/3), $XLF (8/12), $USO (8/30), $XLE (8/11), $EEM (8/9)

Positions closed for a loss in August: $FB (8/31), $AEO (8/17)

If you have any questions on these trades, subscribers please send them here.

~ @chicagosean

P.S. We do trades like these regularly. If you'd like to leverage Best-in-Class technical analysis into smarter directional options trades, try out All Star Options Risk Free!

Filed Under