A limit order I expected to go unfilled came through today on strong price action in HCLP.
music selection: “Summer Breeze” — Seals & Crofts
I previously doubled down on HCLP after the price suffered with new puts at the 10 strike sold for 1.65. The price crashed again and was well into the money. I opened a good till canceled limit order at 1.63 for an attempt to close at break even after commissions. That worked out so I’m rolling down and out.
The new trade is HCLP151218P00007500 sold for 0.70. The trade is now out of the money again and will be open for 46 days. The annualized return is very high at 74.06%. I would have been happy to own shares at 10 but I’m going to be even happier now if I end up owning at 7.5 instead. Else, I’ll be happy to write more puts at 7.5 for even more income.
Sometimes, you can turn a situation around on an options trade by placing good till canceled stink bids and remaining nimble.
Devour your prey raptors!