5/19 bought covered stock on GOGO. Stock was trading at 14.55 and sold June calls at the 15$ strike for .95. Reducing cost basis to 13.60$. I made a notional bullish assumption that since GOGO was beat down and looked like it was turning around that it might go up more....but still that is only a 50% probability of profit. By selling the calls against it I limited my potential gains to 1.40 but lowered my break even to 13.60 thus increasing my probability of profit to over 65%, (based on option pricing and expected move). Buying power reduction around 450$ per lot.

Since then the price has moved a lot in my favor.

Today 5/28 I sold the position at 14.77.....locking in a profit of 1.17$. This was around 83% max profit. Overall gain of 8.6%.....actual return on capital based on buying power used was around 26%. In 9 days.

Now I have re-established the position in GOGO for the June 18$ strike. Stock trading at 17.55...sold 18$ June calls for .85 lowering my break even to 16.70. And I'll start it anew.

For me this is how I take a notional assumption based on limited technical analysis (it looked beat down and turning around and volatility was high) but still a 50/50 shot and applied a strategy to give me an edge...then took profits as they presented themselves and re-established a new position with the buying power. The initial position only had 17% left of max profit....so by taking it off I 1. locked in profits and 2. established a new position with more potential profit within the same time frame.

Net/Net more money is probably made from selling trading ideas than the trades themselves make.

?Look, and it can't be seen. Listen, and it can't be heard. Reach, and it can't be grasped.?
― Laozi, Lao Tsu: Tao Te Ching