Gold March Put Option

2/19/2013

sell to open 1 March 2013 $153 put option at $1.27


3/12/2013

buy to close my GLD put option at $0.41

Net gain:  $84.45

Initial investment amount:  ZERO!!!!

ADDENDUM:

GLD closed at $154 on 3/15/2013 (expiration Friday), so my put option would have been fine.  However, I like to be disciplined and close out short put options if they have dipped "in the money" during the life of the option.



Learn to trade OPTIONS at Lilia's Investing Academy.

New ONLINE OPTIONS classes start every January, March, May, July, September and November.

Click here for details.