Completing the Barrick Covered Call Position

The objective behind building this position has always been straightforward: to accumulate enough shares of Barrick Mining Corporation in order to sell covered calls in a structured and disciplined way.

Rather than rushing directly into options trading, the focus has remained on understanding the mechanics of the strategy, managing position size, and ensuring comfort with owning the underlying shares. This step-by-step approach reinforces an important principle: option strategies begin with preparation and patience rather than prediction.

Reaching the 100 Share Requirement

With the most recent purchase, the position in Barrick Mining Corporation has reached 100 shares, completing the requirement needed to write one standard covered call contract.

The final shares (25) were purchased at $47.23 per share, reflecting the fact that Barrick’s stock price had continued to rise during the accumulation period. Although this resulted in a higher entry price than earlier purchases, the decision was made to complete the position so the covered call strategy could move forward as planned.

This reinforces the core idea behind the journal: the emphasis remains on executing a consistent process, rather than attempting to perfectly time every entry price.

Position Summary

The shares were accumulated deliberately across multiple purchases, allowing for thoughtful entries and clear documentation at each stage.

Total Shares: 100
Total Cost: $4,274
Average Cost Basis: $42.74 per share

Reaching the 100-share milestone represents a planned transition point rather than the end of the process. The position is now fully prepared for the next phase of the strategy.

Transition to the Covered Call Strategy

With the required shares now in place, the next step will be to sell a covered call against the position.

This phase will involve selecting:

• an appropriate strike price

• an expiration date

• an acceptable premium relative to the stock position

The trade will also consider potential assignment scenarios and how the option behaves as expiration approaches.

As with every step so far, the process will be documented in detail as part of the ongoing trading journal.

Covered Call Trade Series

Part 1 – Barrick 50 Shares

Part 2 – Barrick 75 Shares

Part 3 – Barrick 100 Shares

Part 4 – First Covered Call on Barrick

Part 5 – Covered Call Outcome