SLW

The December 17 - January 15 call spread could have been bought for as little as 0.35-0.40, but we'll use the 0.55 price advised when I recommended rolling our call spread out to January. This means we are long eight December 12.50 calls effectively for a 0.40 debit (i.e., long stock for 12.90), and short eight January 17 calls for 0.80. Don't worry if you didn't roll the spread;  the goal in any case is to come out of next Friday's expiration with 800 shares of stock to hold as a long-term position. The short January 17 calls will simply give us a little downside protection at a cost of limiting our near-term upside potential above $17.80.

We hold eight Dec 12.5-15.0 call spreads for an average CREDIT of 0.15.  Let's try to arrange things so that we can come out with a covered write on 800 shares when the December series expires.  It will require covering the short December 15 calls and shorting an equal number of January 17 calls at the same time.  I'll recommend doing so for a debit of 0.55, provided the stock is trading 16.20 or higher.  This is a day order, but we'll rethink it and try again later if it is too hard to fill. (Note: It will become harder the higher SLW goes, but you should work the order only if SLW is above 16.19.)

The stock has pulled back without having achieved the 15.85 rally target where we'd planned to lighten up. We still hold eight Dec 12.5-15.0 call spreads for an average CREDIT of 0.15., and I'll suggest sitting with it for now.  My expectation is to let the spread expire into stock, giving us an 800-share position with a cost basis of 12.35.  One reason we shouldn't be too eager to cover the short Dec 15 at the moment is that they are trading with an implied volatility of close to 60 -- quite juicy.  If we weren't short them already, we'd be looking for a way to do so.

We hold eight Dec 12.5-15 call spreads for an average CREDIT of 0.15, having legged the position on at great prices. Since SLW is approaching a potentially stubborn Hidden Pivot resistance at 15.85, let's ty to adjust if and when the stock gets there.  Accordingly, I'll recommend closing four of the spreads for  1.90, good through Wednesday. I've included a snapshot of my option calculator that shows how I arrived at a fair value for the spread.

We  are long the December 12.50-December 15 call spread eight times for a credit of 0.15 per, having legged into it at great prices. No adjustment is suggested at this time, since I expect the stock to hit a minimum 15.31 before the  options expire.  As of now, I'm planning to cover the short December 15s and letting our long calls turn into stock that would become the core of  long-term position.

We hold eight bull spreads that have the potential to pay one's subscription costs for the next six years. We own the spread -- long December 12.50 calls, short December 15 calls -- effectively for a CREDIT of 0.15 per, since we legged into it at very good prices. This means we stand to make as much as  $2120 if the stock goes out 15 or higher at expiration. However, we may have a chance to realize most of that gain well before Christmas, since SLW seems bound at the moment for a minimum 15.31.  The higher it goes, the deeper in-the-money both calls will be, and the less time premium we'll therefore have to pay to close out the December 15s.  In practice, the amount of time premium in the December 15 call over and above time premium in the December 12.50 call should roughly equal the value of the December 15 put.  This is logical because buying the December 15 put would be one way of locking in whatever profit we have in the call spread with SLW trading above 15.

All are ducks are in line now that we've successfully legged into the December 12.50-15.00 call spread eight times for a net CREDIT of 0.15 per.  The short sale of some December 15 calls for 0.45 yesterday morning clinched it, allowing us to capture premium in this series when the options were fat and juicy. Let's put in a stink bid of 0.20 to cover the December 15s, good through Wednesday. It would be worth our while to get 'em in at that price if we can do so within the next few days. Our goal would then be to re-short them on  rally.

Silver Wheaton is screaming higher in after-hours trading, so we may get a chance to short eight December 15 calls for 0.45 against the eight Dec 12.50 calls that we own for, effectively, 0.15 apiece.  Our original cost basis was 0.45, but we were able to reduce that by 0.30 by selling half of the original 16-call position near the top of yesterday's steep rally.  The trade was featured as a Pick of the Day, so I am hopeful that many of you were able to take advantage of what looked, from the get-go, like an easy opportunity. From a Hidden Pivot perspective, the highest blowoff target I can identify for today lies at _____, a Hidden Pivot that comes from the lesser charts.

We hold 16 December 12.50 calls for an average 0.45 apiece.  Offer half of them to close for 0.75, good-till-canceled.  You should also offer eight December 15 calls short for 0.45,  good-till-canceled. My immediate upside target is _____, but if the stock closes above that Hidden Pivot for two consecutive days it would be signaling further potential to as high as _____ over the next 3 to 5 weeks.