September 18th, 2011
Introducing The Rowboat
Quite Possibly The Holy Grail of Investing. Step 1 : Sell the Put (unless stated otherwise, picks should be assumed to be “Good until canceled” GTC and Limit)
Medivation, Inc. ( MDVN ) @ $19.70 Sell to Open MDVN October 2011 $10.00 Put @ $1.65 Limit
Good until canceled ( 16.5% return in 32 days) Medivation, Inc (MDVN), a biopharmaceutical company, focuses on the
development of small molecule drugs for the treatment of castration-resistant prostate cancer, Alzheimerdisease and Huntington disease. It has collaboration agreements with Pfizer Inc. to develop and commercialize dimebon; and Astellas Pharma Inc. to develop and commercialize MDV3100. The company was founded in 2003 and is based in San Francisco, California.
Here is a video on how to do this trade: http://www.youtube.com/watch?v=B4JjM7Q6XX4
IF it got Put to you, now we: Sell the Covered Call (Do not buy this stock to sell the covered Call)
CLWR @ $2.45
Got Put to us, so now we sell the Covered Call:Sell to Open CLWR January 2012 $4.00 Call: Limit .30c GTC ( +10% return) History: We have collected .50c in premium’s so far 08/23/2011 Sell To O
pen CLWR Sep11 3 Put $0.50 (16.66% Return) How did we do last Month? / Current Positions
LULU @ $57.76
Expired 08/22/2011 Sell To Open LULU Sep11 40 Put $1.00
(2.5 % return ) MELA @ $3.43
* Our Oct 2011 $2.50 Call is still cooking. We will be called away if we do nothing, so I am going to “Roll” this up. You can use the “roll” button on your positions page, and both “Legs” will count as 1 trade.
Since we sold the Oct11 Call for .30c, this gets us an additional $1.50 on sale of the stock if it gets called away.
Buy To Close MELA Oct11 $2.5 Call (currently $1.10) Sell To Open MELA Jan12 $4 Call (currently .75c)
debit limit .35c Limit GTC
Here is a video of how to do this trade: http://www.youtube.com/watch?v=AbgBeZIonFE
History: We have collected $1.75 in premium’s so far (51.25% return)08/22/2011 Sell To Open
MELA Oct11 2.5 Call $0.30 08/21/2011 Buy To
Close EXPIRED MELA AUG11 2.5
CALL 07/20/2011 Sell To Open
MELA Aug11 2.5 Call $0.25
07/17/2011 Buy To Close
EXPIRED MELA JUL11 3.5
CALL $0.00 05/23/2011 Sell To Open
MELA Jul11 3.5 Call $0.30
05/22/2011 Buy To Close
EXPIRED MELA MAY11 4 CALL
$0.00 04/19/2011 Sell To Open
MELA May11 4 Call $0.15
04/17/2011 Buy To Close
EXPIRED MELA APR11 5 CALL
$0.00 01/24/2011 Sell To Open
MELA Apr11 5 Call $0.20
12/17/2010 Buy MELA – Option Assignment
$4.00 12/17/2010 Buy To Close
MELA Dec10 4 Put $0.00
11/01/20 10 Sell To Open
MELA Dec10 4 Put $0.85
PAY @ $38.81
October 2011 $42.00 Call is still cooking.
History:We have collected $4.45 in premium’s so far (10.95% return) 05/23/2011 Sell To Open PAY Jun11 43 Put $1.70 06/17/2011 Buy PAY – Option Assignment $43.00 06/17/2011 Buy To Close PAY Jun11 43 Put $0.00 06/20/2011 Sell To Open PAY Jul11 44 Call $0.75 07/17/2011 Buy To Close
EXPIRED PAY JUL11 44 CALL 07/19/2011 Sell To Open
PAY Aug11 46 Call $1.05 08/21/2011 Buy To Close
EXPIRED PAY AUG11 46 C ALL
08/23/2011 Sell To Open
PAY Oct11 42 Call $0.60
PAAS @ $30.20
Our Oct 2011 $36.00 Call is still cooking. History : We have collected $2.85 in premium’s so far ( 7.91% return)
06/20/2011 Sell To Open
PAAS Oct11 36 Call $0.80
06/19/2011 Buy To Clo
se EXPIRED PAAS JUN11 36 CALL
$0.00 06/16/2011 PAAS QUALIFIED DIVIDEND $.025
05/23/2011 Sell To Open
PAAS Jun11 36 Call $0.50
05/20/2011 Buy PAAS – Option Assignment
$36.00 05/20/2011 Buy To Close
PAAS May11 36 Put $0.00
04/18/2011 Sell To Open
PAAS May11 36 Put $1.55
American Capital Agency Corp. (
AGNC) @ $29.54
AGNC goes ex – dividend on September 21 st, we will be
looking at selling a Covered Call on that date.
Look for a Oracle Update at that time. Be aware that AGNC
will Open $1.40 lower than it closed because it will be
trading ex- dividend (without the) Quote of the Month:
“I don’t look to jump over 7 – foot bars: I look around for 1 – foot
bars that I can step over. “
~ Warren Buffet Until Next Time Brad Lee The Options Oracle
Greetings and Welcome aboard to all new subscribers!
October is historically a down month, so use all the safety tips when trading. Congrats to all with successful trades.
“*IMPORTANT* Please review our definitions in order to get acquainted with language we will be using” https://theoptionsoracle.com/glossary
Feel free to look at our past issues because many trades last multiple months. https://theoptionsoracle.com/past-performance
Links to the actual trades is
HEREWebinar We will be doing a webinar Sunday at 8 pm est to explain this newsletter.
Here is the link http://www.anymeeting.com/MoneyMedic1
Auto Trading is coming! Don’t want to do the trades yourself? With auto trading your portfolio will “Mirror” mine. More details coming.
These are my actual trades. Your subscription fee may be 100% TAX DEDUCTIBLE if used for educational business/investmentpurposes. Check with a licensed professional.Brad Lee AKA “The Options Oracle”
and “The Money Medic” is an individual investor who does not manage money for any financial institution.You are
purchasing the list of stocks that he uses to select options contracts he feels will return him the highest, safest profits. Brad is not a broker, or financial adviser. He is a remarkable investor who has developed a successful strategy for himself, and is willing to share some of his magic with you. We urge you to paper trade these picks and learn how to develop a strategy that is appropriate for you.Thank You. We make no recommendations on investment and we do not provide financial, tax or legal advice. Content and tools are provided for educational and informational purposes only.
Trading or investment in stocks, futures & options, and commodity are subject to potential market risks. You can use our materials or recommendations for educational purposes, this is not intended as Trading or Investment
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