I feel that an update on the AAPL and GOOG positions are in order given the recent movements in the market and that we're approaching their earnings dates.
AAPL:
This trade was initiated on August 27th when OCT 200 AAPL calls were sold for $0.80/share. Although the underlying stock has moved higher since the selling date, the calls are trading just below the $0.80 mark as time value has decayed and lowered the premium. Normally I would not hold this call when the stock is soaring and we are days away from earnings. However, these calls will expire on Friday October 16th, while the earnings is reported on Monday October 19th. This way I am avoiding the volatility that can result from the earnings after the announcement. I don't see AAPL trading above $200/share until next Friday but I will watch it closely just incase I need to close it out before expiry.
GOOG:
This trade was initiated on August 27th when DEC 590 calls were sold for an average of $2.50/share. This stock was fine until the past 2 days where it has climbed from nearly $490 to around $520.
The trade plan calls for a stop-loss limit of $5, which is why I am thinking about closing out this trade, especially as the earnings call is scheduled for next Thursday October 15th. A good report can send this stock soaring. I do not want to take that risk, especially as these calls are long dated - all the way to December 18th. I will look to the next trading days to see if I will close it out or hold on to it.
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