DGI Adventure 09-07-16 Sold Covered Call – Valero Energy Corporation (VLO) – $58.00 strike – Oct 07 Expiration

This trade was actually executed yesterday 09/06/16. I sold the covered call for $56.22, which is a 0.97% absolute gain on the $58 strike price. The trade will be in force for 31 days making for an 11.42% annualized gain. The premium is nearly the equivalent of a quarterly dividend payment, but with a duration… Read More DGI Adventure 09-07-16 Sold Covered Call – Valero Energy Corporation (VLO) – $58.00 strike – Oct 07 Expiration

DGI Adventure 08-09-16 Roll Out Covered Call Option – Valero Energy Corporation (VLO)

VLO goes ex-dividend today, and the quarterly distribution is $0.60/share. I mentioned last week that I would be on high alert for a situation that could lead to early assignment. My covered call option, which had a strike price of $54.50, was about to expire on Friday August 12. VLO shares traded as high as… Read More DGI Adventure 08-09-16 Roll Out Covered Call Option – Valero Energy Corporation (VLO)

DGI Adventure – 07-08-16 Sold Covered Call – Valero Energy Corporation (VLO) – $54.50 strike – Aug 12 Expiration

I made this trade yesterday morning, Thursday 07/07, but I wasn’t able to post this until today. Way back on June 9th, I sold a put contract for VLO with a strike price of $53.00 and an expiration of June 24th. Shares closed that day at $54.39, so the trade had a short window but… Read More DGI Adventure – 07-08-16 Sold Covered Call – Valero Energy Corporation (VLO) – $54.50 strike – Aug 12 Expiration

DGI Adventure 06-09-16 Sold Cash Secured Put +Investment Thesis (revisited) – Valero Energy Corporation (VLO) – $53.00 strike – June 24 Expiration

Please visit the core philosophies article on my investment thesis process for a deeper explanation of the components of this article. I went through this exercise approximately 6 months ago when I bought 26 shares of VLO at a cost basis of $66.67 in my taxable account. The stock price is obviously down quite a… Read More DGI Adventure 06-09-16 Sold Cash Secured Put +Investment Thesis (revisited) – Valero Energy Corporation (VLO) – $53.00 strike – June 24 Expiration

DGI Adventure – 04-03-2016 Month in Review – March 2016

Well that wraps things up for the first quarter. That was quite the upswing. Will it continue? I’m currently intrigued by the theory that most of the buying volume right now is coming from corporate buyback programs. That means that when the blackout period for earnings season kicks back into gear, the support should drop… Read More DGI Adventure – 04-03-2016 Month in Review – March 2016