October 9, 2015 Trade Alert #2 -  Rising Tide  Portfolio

These trades will boost theta a bit and set up a new long-term break-even range that the stock will be flat or higher in 6 months:

 

BTO 3 COST Apr-16 155 calls (COST160415C155)
STC 3 COST Apr-16 145 calls (COST160415C145) for a credit of $5.90  (selling a vertical)

BTO 1 COST Apr-16 155 call (COST160415C155)
STO 1 COST Oct5-15 155 call (COST151030C155) for a debit of $5.50  (buying a calendar)

BTC 1 COST Oct5-15 149 call (COST151030C149)
STO 1 COST Oct5-15 155 call (COST151030C155) for a debit of $4.25  (buying a vertical)

BTO 1 COST Apr-16 145 put (COST160415P145)
STO 1 COST Apr-16 155 put (COST160415P155) for a credit of $4.00  (selling a vertical)

Be prepared to change these price limits by $.05 or more in order to get an execution.

 
Happy trading.

 

Terry