This is the first 1% drop since June!
ERIC/Scott - If people don't trust AAPL to make money selling phones, what chance do the others have? Of course, Ericsson isn't just a phone company, they make much more in Network and Equipment Service and Sales and they are a cloud company too. They are kind of like GE or IBM, no exciting growth but a good, steady, diversified company with a good, solid dividend (.30), so I do like them as a conservative play:
To start a trade, I'd just sell the ERIC April $7 puts for 0.80 to net in for $6.20 and see how that goes. If you get that, then you can sell the 2018 $6 puts and calls (when they come out) for maybe another $1.50 and then you'd have an excellent $4.70/5.35 position with a $1.30 upside at $6 (27%) or the worst case is a 22% discount on 2x.
Speaking of trades I like, TEVA is nice at $50 with a $1.36 dividend (2.65%) and you can sell the 2018 $45 puts for $4 so let's sell 10 of those in the LTP for $4,000 and, if they do drop another 20% - we'll be happy to add them as a long-term dividend play because, on a net $41 entry, $1.36 is 3.4% and I bet we can drop that net below $35 with the next round of sales.
