This trade was originally executed on September 1, 2026, before the public launch of Options Income Journal. It is being added to the journal from my actual trading records. The prices shown are my actual fills, and the decisions described are the decisions I made while managing the position.

Bought 100 shares of Citigroup (C) at $132.19 per share
Sold 1 C September 4 $133 Call at $1.05

This was a buy-write: I purchased 100 shares of Citigroup and sold a short-dated covered call against the shares. The call generated $105 of immediate option premium while leaving $0.81 per share of potential stock appreciation if the shares were called away at $133.

My primary objective was short-term option income. I was comfortable owning Citigroup at $132.19, but I was equally comfortable having the shares called away at $133 if the stock moved higher.

The $1.05 call premium reduced my effective economic basis in the shares from $132.19 to approximately $131.14 per share, before commissions and fees.

If the shares were called away at $133, the $0.81 stock gain combined with the $1.05 option premium would produce approximately $1.86 per share, or $186, before commissions and fees. That's approximately a 1.4% return in only a few days on the original stock purchase price.

The September 4 expiration made this a deliberately short-duration trade. I wasn't trying to predict where Citigroup would trade several months later. I was looking for an attractive combination of stock entry price, near-term option premium, and a strike at which I would be comfortable selling the shares.

As expiration approached, I evaluated whether allowing assignment, closing the call, or rolling it to another expiration offered the best economics.

This is a recurring part of my process: the original trade establishes the position, but subsequent decisions depend on what the stock and option actually do.

September 1: Bought 100 C shares at $132.19 and sold the September 4 $133 call for $1.05, generating $105 in option premium.

September 4: With the original call approaching expiration, I evaluated rolling the position to the following week. I attempted a roll to the September 11 expiration at my desired credit, but the order did not fill.

I did not chase the roll simply to keep the position active. If the economics aren't attractive at my price, I'm comfortable allowing the market to determine the next step.

The original buy-write generated $105 in option premium, reducing the initial economic basis in the shares to approximately $131.14 per share, before commissions and fees.

The attempted September 4 roll also illustrates an important part of my approach: placing an order does not mean I have to accept a less attractive fill simply to complete the trade.

Options Income Journal reports trades that actually execute. An unfilled order may be useful context for understanding my decision-making, but it is not included as option income.

The prices reported in Options Income Journal are my actual execution prices.

For current trade alerts, stock and option prices can move materially between the time I execute a trade and the time an alert reaches you.

If the economics of a trade have changed, do not chase my reported fill. Options Income Journal documents the trades I make in my own account; these are not trade instructions or signals.

Options Income Journal is provided for educational and informational purposes only. Nothing published here should be considered individualized investment, financial, tax, or legal advice, or a recommendation to buy or sell any security or option. Options involve risk and are not appropriate for every investor. You are responsible for evaluating whether any investment or options strategy is appropriate for your own circumstances.