Sep 03 2008
JOYG Chart – Sold a New Naked Put
Joy Global (JOYG) gapped down today after beating estimates, but with aid from tax related gains and that didn’t please the masses.?? Their outlook is still good, but the market didn’t treat it that way.?? I??own 100 shares that I bought much higher after being assigned an earlier naked put at $75.00.?? I’ve sold covered calls since then and reduced my cost to around $57.50 with today’s trade, but with the gap down today I’m sitting on a paper loss as JOYG closed the day at $53.05.??
I charted JOYG to see that $50.00 could be an area of support as it was last fall a few times and in January of this year.?? I entered a limit order for a naked put after lunch??and while JOYG was trading at $52.10 I sold one September 50 naked put (JQYUJ) and received $164.25 after commissions.?? The premium isn’t big, but it’s only [...]
Original post by Alex Fotopoulos