The Money Tree

Safely Generating Income in Retirement

MYGN Update

Posted by mounddweller on July 17, 2010

All,

I have an update on my position in MYGN.  As you’ll recall MYGN came up on my VISIONS scan back in late March.  I executed a buy/write at around $24.68.  The APR $25 calls expired so I wrote the MAY $25 calls.  These also expired about the same time as the bottom fell out of the stock.  Since May it has fallen to as low as $14.29 before recoving back into $15+. 

It seems to me MYGN may have found a bottom.  Accordingly, I decided on Friday to sell 2 AUG $15 puts for $0.60.  If I have MYGN put to me at $15 at AUG expiration I will own 500 shares with a net cost basis of $19.96.  If my AUG puts expire OTM I will sell another round with a SEP expiration. 

Regards,

Troy

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One Response to “MYGN Update”

  1. Rich said

    Troy,

    Your MYGN position is similar to my GE scorecard. I did a buy/write back in late 2008 when GE was trading around 24. Then the bottom fell out of the market. (this was before I got interested in selling puts as Teddi explains on her web site ) I’m still upside down in GE but now only have an Aug 14 put in play. I’m now only down a little over $300 and I’m confident that I will be able to recoup all that thru selling puts. It will take awhile but with patience I should be able to get back to even on this scorecard, even though it will take at least a year.

    Rich

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