BAC – 28 JULY No Roll Needed

The Gods of Finance are smiling on our BAC positions today. The stock has zigged and zagged and closed within 10 cents of our "fulcrum", a straddle centered on $24.50.

At day's end we had accumulated another $368 in unrealized earnings, in addition to our $1426 of realized earnings. This represents about 30% of our total outlay in about 4 weeks. We could close out both our short term position and our long term position for a net gain of $501 on $4010 invested, which is a 12% gain in less than 1 month. But of course it would be silly to do so. We expect these premium milkings to continue. If they continue at the same pace we could see premium earnings of $18,000 to $22,000 on an investment of $4000, which would about triple our investment.