After an increase in the stock price to around $24 I decided to exit this position and take my gains. There was less than 1% of additional gains left, and as has been said by other covered calls investors before, it is better to get out and leave a little on the table than hold until expiration and see your stock plummet. The profit info is below:
4/14/2009 -- Bought 100 CHK @ 21.095
4/14/2009 -- Sold To Open 1 CHK May $21 Call @ 1.86
5/6/2009 – Bought To Open 1 CHK May $19 Put @ 0.35
5/15/2009 – May $21 Call and $19 Put Expired
5/18/2009 – Sold To Open 1 CHK June $21 Call @ 1.256/10/2009 - Bought To Close 1 CHK June $21 Call @ 2.74
6/10/2009 - Sold 100 CHK @23.52
The important purchase metrics are below for insight into possible profit and loss (these all include commissions):
Stock Purchase Cost: $2109.50
Percentage Profit: 12.71%
Annualized Profit: 81.4%
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