Back in October, I put on a bullish position in Cameco ($CCJ). It was a diagonal call calendar spread: I bought January 2026 $80 calls and sold December 2024 $65 calls against them, paying a net debit of $3.50.

The idea was pretty straightforward: I wanted to own the long-dated $80 calls, but I wanted them cheaper—so I financed them by selling front-month calls.

Had I done nothing after that—just sat on my hands—the short December calls would’ve expired worthless, and I’d still be holding the January 2026s. I’d be down about $1.25 on the trade today. Not ideal, but manageable.

But I didn’t do nothing.

As CCJ started to slide in November, I began actively managing the position. I rolled the short calls five separate times, each time pushing them out to a later month and collecting a bit more premium. Each roll chipped away at my initial cost basis:

By April 16, I had reduced my downside risk so much that the entire campaign had flipped into a 77-cent net credit!. If CCJ continued to go nowhere or down, all my options would eventually expire worthless and I’d actually walk away a small winner...

Today's trade is in a biotech stock. And the word "biotech" should cue thoughts of "risky" and "volatile."

And this trade is no exception. So I'm going to get creative, utilizing a spread to lower my cost of participation, define my risk, and give me two paths to profitability. 

In today’s Daily Digest, we’ll review the following:

1. No new positions today.
2. Rolling XLC to July options.
3. No exits since the last report.
4. Current status of open campaigns.
5. Volatility Snapshot.

Let’s dig in!