May 19th expiration option contracts expire tomorrow and we expect this trade to close out with the maximum profit. The daily chart below confirms the Gold Trust Shares ETF has not approached our target strike price since the middle of April.
Unless there is a big gap higher tomorrow the Gold Shares ETF should remain below the $125 strike sold call. If the unexpected does happen, don’t let the index price end the day above the sold call at the close of trading tomorrow; otherwise you will be automatically assigned by the broker over the weekend. Going into the last 15 minutes of trading (3:45 pm EST) if the GLD ETF is at $123 or lower, we plan on allowing all the contracts to expire worthless. However, if the price moves higher, we will initiate an order to close out the position (buy back all the sold $125 call option contracts).
Feel free to contact us with questions,