New new new new new new new highs, BUT be sure Hajimow will soon explain he made $$$$$$$. Even if MCD went to 200 dollars, he would still make money. Let's close this ridiculous thread !!!! CM
Follow Up : MCD at 123.89, up from 96.44 Return 28.5% plus dividend yield is 2.90% so over 31%. SPX performance in same time period = Down 8%.
Weekly covered PUT options sold since I disappeared. part one. All expired worthless and I cashed in.
Your actions are not consistent with the title of this thread: MCD is in trouble? Can you please enlighten us your rationale for covered puts and your assessment of MCD? I am not criticizing but want to learn the processes you used for trading. Thanks.
In short this method is used by well pocketed and stubborn traders who have a long vision on a direction of stock and try to reduce the losses or even make some money while the stock is going against their direction. You have to a good long term vision on a stock and be confident on our method. Lets say I were short just 1000 shares of MCD. During just a week, MCD has dropped $10 per share which would be $10,000. If I were short in cash or not confident on my method, I should have covered it at $125 and regret now. I believe MCD will go down but it wont hit the PUT strike price that I am selling in a week.