Options Trading – Twtr Trade 6/21/17
Options Trading – Twtr Trade 6/21/17.
How many times have I posted about Twitter on YouTube and Facebook? Plenty! The stock price is ridiculously cheap. It has such a wealth of information that investors in the stock market just do not see. But I do! Twitter is still cheap and not buying into the bird is foolish in my opinion.
When I trade options, the expiration date on those calls or puts last two weeks maximum. If I feel like being adventurous and really know my information, then it will be one week options. This trade, I bought 40 next week’s calls on Monday at a strike price of 17. The price was laughable. Average calls were .47 cents.
Tuesday was a dull day, though in it I found that while the market had a tough patch, twtr was holding strong during the process. Instead of being worried, I was elated and thought that hopefully on Wednesday I will be able to sell. Lo and behold, Wednesday came and Wednesday I sold. In about 15 minutes of trading I sold at .70 cents.
.23 cents × 40 calls = $920 – commissions. Mind you, I sold too soon. When I was taking a shower, in about 15 minutes, the stock went up more and I could have sold for 1.00, the ones I sold at .70 cents. But a profit is a profit. Twtr is still cheap! Read about my prior BABA trade.
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