Selling a covered call earn potentially earn 746.46 if it rises

💰 Palantir Strategy: Riding the AI Wave with Covered Call Precision

On June 28, 2025, I initiated a strategic move by purchasing 99 shares of Palantir Technologies (PLTR) at $135.15 per share. It was a calculated entry near a minor technical pullback, just slightly above the 20-day EMA of $134.98, suggesting it was well-supported.

To generate immediate income, I sold a covered call on the position—specifically, the PLTR 139.0 Call expiring on July 3, 2025. The premium collected was $3.69 per share, giving me $369 total income, which is $239.25 in profit after accounting for current market valuation.

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💸 If Called Away: What’s My Maximum Profit?

If PLTR closes above $139 by expiry, my shares will be called away. Here’s my potential profit:

• Capital Gain = ($139.00 - $135.15) × 99 = $381.15

• Premium Collected = $3.69 × 99 = $365.31

• Total Potential Profit = $746.46 ✅

A clean +5.64% return in under a week on a $13,379 investment. Not bad for a few days’ hold.

$Palantir Technologies Inc.(PLTR)$  

🔄 What If I Buy Back the Call?

However, if I feel the rally has legs beyond $139 or if I want to reposition, I can buy back the 139 call before expiry—ideally at a lower price than $3.69—then sell a fresh call for next week.

My plan? Sell a new covered call at the $136 strike expiring 11 days later. This option currently commands a premium of $5.00, which translates to $495 additional income for 99 shares.

By slightly lowering the strike to $136, I secure the chance of assignment while locking in extra short-term premium—potentially boosting my weekly cash flow, even if shares tread sideways.

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🧠 Conclusion: Small Moves, Big Cashflow

This is the beauty of actively managed covered calls—I stay nimble, extract weekly profits, and compound my returns. Whether called away or not, I either walk away with realized gains or roll into the next premium cycle with more cash in hand.

With Palantir’s AI narrative fueling momentum and strong demand at dips, this strategy offers me not just capital appreciation—but a predictable, scalable income machine 💼📈

Can use the profit to visit 

@CaptainTiger 

@MillionaireTiger @TigerStars @MillionaireTiger @TigerEvents @Daily_Discussion