GE goes ex dividend, we collect another payment
GE went ex-dividend today, so all stockholders will collect the dividend of 19 cents a share. Our 500 shares get $95.
Our position is now a covered call or long 500 shares GE and short 5 Oct 24 calls. Our daily theta (time decay) is now about $4 a day, or $120/mo. We are up about $845 since April, or about 7%. Annualized it’s over 14%. The best thing to do now is just leave this position alone and collect our $4 every day (including weekends!).
GE had fallen into a Bear market about one month ago, but that now appears to be changing. We have crossed back into Bull territory and for now we expect GE to remain strong. It would not be unreasonable to sell another put on a day like today, when GE is down.
Subscribers have been in this position since the beginning and have earned back their monthly subscription fee over and over. Please join us and profit here at DeepPocketOptions!
Tomorrow we will begin looking at another position.
The Fed said yesterday that they could not start tapering because the economy isn’t strong enough and interest rates have spiked up. But, they caused the interest rate spike with their talk of ending the QE program, I think they are also causing the weakened economy. How are they ever going to decide to end this? Maybe they won’t – maybe the market will eventually decide it for them – then they will have the perfect excuse.
The pump is running dry……..