Market went sideways today, and ended up mixed, not as panicky as it could have been approaching 3 month lows and a disconcerting down trend over the last month or so. In retrospect I shouldn't have jumped in yesterday, a big bounce up today after a big drop like that would have been really unusual. Antied up one more time, in line with my strategy with 300 shares of SPY and SZCBA at a debit of 77.79 The option, barely in the money has 1.21 of premium with 3 days left on the option (1.5% return) -- pretty amazing.
If the market doesn't get back to 81 by the end of Friday, and if I don't close out the buy-writes I will have some interesting decisions to make. Go for premium at the present level, don't lock in a loss by using strike points above the break even point, or wait for a market rally before re-establishing a option position. Reminding myself covered calls are basically a bullish strategy.
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