Showing posts with label KMP. Show all posts
Showing posts with label KMP. Show all posts

Monday, January 10, 2011

(KMP) Put Close Out

I was short the JAN 67.50 puts at .70 and just closed them out for .10. I could lock in (.60/.70) = 85% of the profits with two weeks left until expiration so I felt this was the prudent move to make. Besides locking in profits and taking 100% of future risk off the books, I'm hoping for a pull back within this 3-month trading range so I can sell FEB 67.50 puts. If this happens its essentially a roll of the trade. Current price for FEB 67.50 puts is roughly .50. So we'll see if I get a chance for a better entry sometime in the next two weeks before JAN expiration.