I modified my short position in AMC Networks (AMCX).

music selection:  “Wake Up” — Three Days Grace

On 4DEC2017, I shorted 93 shares of AMCX at 53.93 a share.  Shares are down modestly since then.  I have sold short an additional 7 shares at 50.91, bringing total exposure to 5,371.86.  Now that I have 100 shares, I am juicing the trade with a covered put.  This is much like a covered call position in reverse.  If shares trade below the strike at expiration, I will be assigned 100 shares which will cancel out the 100 I hold short, leaving me with no position.

I sold AMCX180316P00045000 for 60 cents a share.  The trade will be in force for 37 days and yields an expected 13.15% annualized.  I have room for about 5 dollars in additional capital gains available from continued declines share price.  And my stop loss moves to 66.96 per share.  I will close the position if AMCX closes ABOVE 66.96 per share at the end of any trading day.  I currently am 367 dollars up in the trade.

Devour your prey raptors!

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Top up AMCX short

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One thought on “Top up AMCX short

  • February 9, 2018 at 4:37 pm
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    Have to give credit. Your long-suffering shorts suddenly look brilliant with the recent little market dip. Glad you stuck with them.

    Reply

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