Last month, I wrote about an option trade in Toronto Dominion Bank. I purchased 3 contracts on July 14 and quickly sold these in less than 48 hours on July 16. I got a good return on this investment.
On Aug 13, I decided to try a trade again in Toronto Dominion Bank. I bought 3 Sept 18, 2015 call option contracts for a $52.00 strike for a premium of $345.00 excluding commissions inside my TFSA.
Summary:
Initial Investment including commissions = 3*100*$1.15+ $12.95
= $357.95
Currently, Toronto Dominion Bank is trading at $52.05 on the Toronto Stock Exchange.
Disclosure: own 100 shares of TD in margin account
DISCLAIMER:
I
am not a financial planner, financial advisor, accountant or tax
attorney. The information on this blog represents my own thoughts and
opinions and should NOT be taken as investment or business advice.
Every
individual should do their due diligence to make their own financial
decisions based on their financial situation and tolerance for risk.
Interesting move, IP. I remember your last trade in TD and that was a neat profit in just 48 hrs. I have burned my hands trading options in the past and realized that I dont know much and need to learn more. Watching your trades in real time gives me some perspective.
ReplyDeleteThanks for sharing
R2R