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Trade exit – Pitney Bowes Inc. (PBI) put selling – 1.07% gain

I was no longer comfortable with Pitney Bowes (PBI) stock and thus earlier I changed my mind on this trade. Originally, I was OK to hold this stock in my portfolio in case I get assigned, but after 50% dividend cut the rules changed.

For this reason I decided to take advantage of Pitney’s somewhat good results which boosted the stock up and close my put selling position. I think this boost of the price may have a short life and I bought back the put contract:

08/01/2013 10:56:55 Bought 1 PBI Jan 18 2014 12.0 Put @ 0.3

This closes the trade with 1.07% gain after commissions (with $12.88 cash gain) or 2.80% annualized gain. It could have been better, but I wasn’t willing to hold my maintenance cash tied to this stock. Well, still better than a loss.





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