On Dec 10 2007, I posted the follwing trade:

AMGN has retreated from a recent high of 55.50 on fear that the FDA will suggest new revisions in regard to the company’s anemia drug, Arsenap.  The shares lost nearly 6% last Friday as investors panicked.  For those who can withstand buying while everyone else is fleeing, AMGN is a buy!

 That said, I purchased 2 blocks (20000 shares) at an average price of 49.88.  Simultaneously, I wrote the following covered call options to help hedge my shares:  200 DEC strike 50 calls at a premium of 1.66/contract.  This means that I have an intrinsic value of 1.66/share by DEC expiration.  It’s a not a bad return in little under 12 days remaining.

Today, I Pocketed the entire 1.66 premium on 200 Dec strike 50 calls, as the shares close below 50.  Next week i will be writing the January calls.  For some strange reason, they weren’t rich in premium today due to lack of volatility.

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