BAC looks to close above $16 , as it currently is, you will need to close out the BAC
FEB $16 before the close tomorrow. You could also wait and see how the market acts tomorrow
and wait to close the BAC $16 call at or near the close.
Also, if you wish to wait untim the end of the day and see if BAC could pullback
you can use a MARKET ON CLOSE order and take the price near the close of the day. This
is a good idea if you are not going to be able to be in front or near your computer at the
At least it should be the only action we should need to take in this portfolio tomorrow.
The other open positions in Portfolio #1 should all expire worthless at the close of tomorrow's market.
The issues that should expire worthless tomorrow are as follows: the call spreads in HPQ, ZU, APOL & SLW.
The positions above are all from $2.00 - $6.00 out of the money.
MCM February 2015 PORTFOLIO # 2:
What looks like the most pressing issue to deal with in portfolio #2 will be the DE FEB 92.50 call, which is currently
around $0.72 out of the money going into tomorrow's final February monthly option expiration day.
It is very simple, if DE looks to close above $62.50 we will need to act to close out the position before the
close of action in tomorrow's market, however if DE looks to close below $62.50 we need do nothing as the DE FEB 62.50 call would of course expire worthless.
Hence, with the stock very close to the $62.50 we need to keep an eye on it to determine it it will be necessary to act
There are a few other issues that are currently out of the money, but we should also pay some attention to tomorrow, especially if we get a robust move to the upside in the market tomorrow.
Those issues are LVS, CRM and possibly ADSK.
These three (3) issues are all currently several points out of the money, but on any given day they could move several points.
LVS - The LVS FEB 62.50 is around $1.70 out of the money and hopefully we do not get any
casino related news tomorrow that would cause this stock to run, otherwise we have a great chance for the LVS FEB 62.50
call to expire worthless tomorrow.
CRM - The CRM FEB 65 CALL is around $2.25 out of the money and should close under $65,
but keep an eye on CRM anyway.
ADSK - The ADSK FEB 62.50 is about $1.00 out of money with a slight move to the
Even, so when a position is only $1.00 out of the money, it needs to be watched as with any $60 plus dollar stock, which
always has the potential to move over $1.00 anytime. Keep an eye on act and be prepared to act if necessary
Thus, we will want to be prepared if it becomes necessary to act, which hopefully wish is not be the case tomorrow.
CAVEAT:Any option in the money, needs to be closed, even if only $0.01 in the money or you will be exercised or assigned stock.
If you choice to wait, you can close any of these positions that look to close in the money on our short side, any time during the day, just be sure you leave no short option in the money open at the close.
Positions that should expire worthless tomorrow which are call spreads are in: M & EBAY.
The call positions above are anywhere from $2.00 - $3.00 out of the money.
Positions that should expire worthless tomorrow that are put spreads are in: DIS, AAPL & WDAY.
The put positions above are anywhere from $4.00 - more than $13.00 out of the money.
MCM FEBRUARY 2014 PORTFOLIO # 3:
We will need to watch and potentially have to close out (3) positions.Those positions are :
AWAY - We will probably need to close out both the $29/$30 spread for the maximum $1.00 Debit, unless AWAY looks to close below $30, then we would need to only close out the AWAY FEB short $29 call, as the long $30 would be out of the money.
AVP - We will probably have to close the AVP FEB $8.50 for a few cents,
depending on how much AVP closes above $8.50.
Of course, if AVP should retreat slightly and close below $8.50 , you would need to do nothing as this position would
thus expire worthless.
You can either wait the AVP FEB $8.50 call out tomorrow or decide to close it out early in the money, especially
if we get a pullback. (your call).
If you want to hold for the duration of the day and will be away from you computer, you can put in a MARKET TO CLOSE order
to be sure your order is closed out at the end of the day if AVP looks to close above $8.50.
Remember, if we get a sell off in AVP and it drops under the strike , we need do nothing (however I am not counting on that).
SLV -The SLV FEB 16 put might have to be closed unless SLV looks to close above $16
before tomorrow's close.
You can close it out tomorrow sometime during the day or you can wait until the end of the day to determine where SLV is going to close.
Once again, If you are going to be away from your computer tomorrow you might put in orders for MARKET ON CLOSE if
you want to hang in for the marjority of the day.
Additionally, if you do not want to wait to the close and we get a flat to up opening you might want to close out either or both of these positions ( SLV or AVP ) at that time, otherwise you will need to close them during the day if they will look to close above their short strike prices.
Definitely will need to keep and eye on AA - with the AA FEB 16 Call closely today right at the money, we will need to keep an eye on AA and if it looks to close above $16 we will probably have to act to close.
AA is not a volatile issue, but a $0.10 - $0.20 move is not out of the questions, so keep an eye on AA during tomorrow's
market session and be prepared to act if AA should look to close over $16.
Positions that should expire worthless tomorrow which are all call spreads are spreads in: BBRY & SLV.
BBRY & SLV positions are anywhere from $0.90 - $1.00 plus out of the money.
IMPORTANT CAVEAT WARNING:
If any issue should look to close in the money, be sure to close out that position before the close of the market on Friday, if you do not and that option is even $0.01 in the money, you will be Either have stock called away that you do not have (short a call position) or get assigned stock that you may not want (short put position).
The MCM MARCH 2015 watch list and Portfolio will begin being posted after the close of the market on Friday, right after the February options come off of the board on this expiration Friday.