Mondays aren’t half bad when you write covered calls – they are more than just another day. They are a just another profitable day.
Today we wrote bull calendar spreads with the October / December paper on Energy Fuels ($UUUU). We also wrote some bull calendar spreads with the weeklies on Riot Blockchain ($RIOT) and Innovio Pharmaceuticals ($INO). We picked up a few $DNN and would love to see our bids get filled at $0.10 for the October $1.50 paper there.
The year was 1979, Michael Jackson was climbing the charts with hits like “Don’t Stop Til You Get Enough” and interest rates were climbing as well to as high as 11.2%. We haven’t seen that kind of inflation for decades… until recently. I was listening to a podcast with Jonathan Davis (shown here below) where he talked about a new era of rising rates. I tend to agree. We started the first leg up, we are pausing and now heading back up again.
As for our positions, we got called away on Riot Blockchain ($RIOT) and Innovio Pharmaceuticals ($INO) this week. We will get called away on Transocean LTD ($RIG) next Friday. These positions are starting to move, so we will give them room to run with deep out of the money calls and options on the flipside as they do.
With Bitcoin at $47,486 its back above its 30 day moving average and ready to rumble. Speaking of crypto we bought more shares of Canaan ($CAN) and Riot Blockchain ($RIOT) today, along with Energy Fuels ($UUUU), Denison Mines ($DNN), IMV Inc. ($IMV) and Platinum Group Metals ($PLG). We like Bitcoin and Gold here.
Crypto was straight fire on market open this morning. Its cooled off a bit tonight with bitcoin at $45,459. We did a buywrite @ $38.50 and bought longer dated calls on the flipside with Riot Blockchain ($RIOT) – will we get assigned? your guess is as good as mine. Its pretty much a coin flip at this point.
Meanwhile, energy is no bid cause Covid and China. Time to buy more Transocean ($RIG) common?
Finally, Denison Mines won’t budge, so we’re writing the cash secured puts @ $1.00 and writing $1 calls on the flipside.
Bitcoin caught a bid today and is at $43,503 at the time of this writing. Canaan ($CAN) and Riot Blockchain ($RIOT) busted through our calls. Guess they’re headed higher for now. We won’t fight the market. Up we go.
We bought a bit of everything today: Energy (Energy Fuels $UUUU, Denison Mines $DNN and Transocean LTD $RIG), Crypto (Riot BlockChain $RIOT) and BioTech (IMV Inc. $IMV and Innovio Pharmaceuticals $INO)