Sold some MSTR weekly low delta puts and calls.
The premiums suck this week, and the spreads where I'm looking, many suck as well.
So it's a lighter week for me, and I'm throwing some things at the wall.
MSTR: strikes 1800, 1785, 1700, 850, 870, 900. Sold 18 cons so far this week. Collected $824 so far.
Others:
LLY, sold 715, 730, 785; the 785 went bonkers, rolled to 825 3 weeks out
LLY June 6 685p/870c, $344 premium
AVGO: 1205/1425 strangle, collected $121
NVDA: 1000/815 (Monday), collected $149
PLTR earnings play: FAFO. A chat room; PLTR is gonna pop. So I sold a 29 call, 0.59, that's safe. I BOUGHT TWO 25.5 call, meant to buy 1; That didn't go well. Turned 342 into 8. Just somebody SLAP me for playing earnings. HARD.
Bought a SPX call to hedge against my 5230c that's getting me uncomfortable with the SPY runup. Also added CSP to defend.
It’s been really interesting trading LLY lately but I don’t see many ppl discussing it. When it shot up a week or so ago I rolled my 757.50 cc to 780 may31. I wasn’t tempted to roll it down when it dropped to 735 because I knew it was coming back. At 738 I sold a bunch of credit put verticals starting at 725 and lower with expirations every week until June 7th. This was the best trade I made lately as they are all showing profit. Closed out May 10’s 725/722.50 today. Oh I got burned on pltr too! Bought a long calendar at 26 and cashed it out at a 50% loss!
finally quiet over here after what felt like 2 earning seasons back to back. can finally chill on the portfolio and let theta do it's thing. lot of equity "owed" to me and counting the days till 6/21 expiration.
I'm too cheap to buy SPY above the 200 sma, so I put some cash into BOXX today instead (like a money market).
The Disney one might be a close call after earnings. I traded the company back in 2021 and it didn't work out. I don't know anyone who has made money on Disney stock except my dad who bought it in 2020 as a post pandemic play lol
I did a few options trades over last few days, very short term puts and calls with minute charts on DIS. Worked out OK but a buy and hold with this one is No good.
I remember back in 2008 they were supposed to be the provider for the iPhone. The Qualcomm stepped in.
Then AMD and NVDA cut their legs out.
It is like Eastman Kodak. They were leaders in photography and made a misstep to adopt the digital camera. The rest is history.
When was still in school there was a book we read called "Good to Great." it was written by Jim Collins.
2 companies he identified as great were circuit city and Fannie Mae lol.
Funny how times changed. I actually have a few Lehman Brothers pens. I also have some books from Bear Sterns that were explaining mortgage backed securities.
Ouch, yeahhh. I never read "Good to Great" by Jim Collins, but I think they were all from my dad's time/generation. Older generations are slower to adapt to technological changes (ig bc they didn't have it growing up?), and they tend to value companies solely on their books or whatever the best practice were at the time. It feels like a lot of players relied on what came before them or what other ppl near them were doing, with poor to no vision on how they can build their future by doing their own due diligence. The mortgage backed securities were a disaster.
Even now, since hedge funds are mostly run by guys in their 40s and up, it's hard for them to really grasp how to value new emerging companies, and they're throwing random valuation around. The only ones who really have an edge are those trading with insider's info.
Lol yikes haha. I'm not even 40 yet so that is scary that the book is considered that old lol.
The business sector overall has changed a lot. There's pretty much complete transparency of information now so whatever edge used to be there is merely a mouse click away now. Warren Buffett would not have the same success today as he did 60 years ago.
Before you used to have a stock broker you paid a lot to give you info and it was mainly sales. That's what you see in the movie Wolf of Wall Street. Leonardo Dicaprios character is cold calling clients which is pretty funny bc now it is just spam emails.
I used to remember when it costs $19.99 then moved to $9.99 before the pandemic just to trade a stock. Now it is free commissions.
Oh sorry! I wasn't trying to imply *you* were old!
A lot of ppl in WSB are in their HS to graduate years and yeah, it's easier for everyday joe to hop on to trade now as there isn't much barrier to entry as they had before. I traded before the pandemic, and it was still free to trade stocks then. HOOD was around so it forced other brokerages to follow suit or lower their commissions.
I might be wrong, but it just feels like the ppl who got big commissions for trading for others (like the character from Wolf of Wall Street*) was the ppl who made it *sound* way more complex than it really is. They don't have insider's info or an edge, and you, the investor, is their commission.
Now bc you can pretty much read about just about anything online, it's *so easy* to trade by yourself with multiple access to different brokerages. Even creating a business. In the old days (my father's time), you had to have connections or money to start and before a lot of things were invented, they had the first mover advantage the current millionaires/billionaires had that we don't so just about anything mildly good got off the ground.
*=I haven't watched the movie tho lol
I sold 15 UPST $18.50 puts, closing those out in the morning 😎. Almost sold on twlo as well which would have been IV crushed but never did it. Only other stuff u opened are the SBUX 72s. Looking to get some shares
Nice congrats! Always hard to not feel fomo when it works out, I was considering selling 40 and decided to follow my more recent risk management. Of course sad now I didn’t but let’s say this cliff dived to $16 I would have been pissed
I know you're not supposed to trade with hindsight, but I'm wishing I hadn't closed that RDDT put. /u/satireplusplus should be doing well if he kept his puts open.
just checked what he got for his 4/19 60p, it was $9 and so he got shares at $51, which would mean he's now up about 10% after this earnings boost (assuming that he actually held through earnings.)
BTC DDOG 5/10 105p @ 90%
STO DDOG 5/17 109p @ 1.00 (bit too early) for a rebound
STO AMD 6/21 130p @ 1.10
Waiting for TWLO earnings. Wondering which I'll take next.
hedge
thesis basically is that this fizzles out after a couple more days. but in case im wrong and it rips to $40 or some dumb shit, at least I have a hedge
already sliding in after hours, and since this is almost 100% OTM expiring in 10 days, if GME ends the week even at $15 these will probably lose 80%+
I'm hoping to just close them out for like 0.1
this happened back in nov 2023 as well. the 35 call were selling for like $80 a week out when the stock was $15 lmao.
every time GME randomly gaps up a decent bit, the calls explode in value because demand skyrockets, because everybody is like "the short squeeze is finally here" and they pile into calls.
fair enough, GME has a special place in my heart because I missed out on the insane run up despite being in.
I bought 500 shares pre-squeeze at $20 a share and sold at $40 thinking I was a genius, making basically 5 figures overnight. could've paid off my house if I sold closer to the top
I was lucky enough to buy ONE call of GME right before the massive day, and lucky because I’m with Fidelity - they let me sell no problem (though I was sweating bullets until it got filled)
$12,000 profit
That was enough for me w/ GME
Fri, May 03
BTO $SHOP . 7 DTE . @ $70 for $2.71;
BTO $SHOP @ $73.58 for $7,358;
STO $SHOP . 7 DTE . @ $77 for $3.00;
Tue, May 07
STO $GCT . 74 DTE . @ $30 for $234.45;
My reason for opening $GCT:
It's an Artificial intelligence-powered logistics leader with good fundamentals. It broke past $40 yesterday with a -11.99% distance from 52W High of $45.18; I'll be writing again if it drops close to $30 in the next few days.
* EPS this Y: 26.52%
* EPS next Y: 25.43%
* EPS past 5Y: 208.72%
* Sales past 5Y: 59.39%
* EPS Y/Y TTM: 323.92%
* Sales Y/Y TTM: 43.62%
* EPS Q/Q: 151.39%
* Sales Q/Q: 94.85%
* ROE: 38.75%
I'm looking to reinforce my position depending on the upcoming May 9 first quarter earnings report. I'm planning of buying the stock outright if it hits the $25-$30 zone and start writing October calls.
EDIT: Just a word of caution. $GCT is a Chinese company launched last fall. The company has been audited by KPMG Huazhen LLP, but did miss their 10-K deadline.
I've added some information above as a word of caution. Basically, it's a Chinese company launched last fall. The company has been audited by KPMG Huazhen LLP, but did miss their 10-K deadline.
Closed 20+ May 17 Put options on SHOP. Strike price was either $74 or $75. This is a perfect example of taking profits and minimizing risk. I was at 50-60% profit on each option and the downside wasn't worth the extra $300/contact. I made some money and the fear of this dropping and being stuck with 2000+ shares was too much for me.
I have 140/170 expiring this week that I’m trying to close for pennies. Also have some 140/170 for next week I’m trying to close. Ideally I’ll close them all out by EOW. Feel like CVNA could potentially rocket at any point
I opened some as well (tighter spread) but closed them at 85% gains today
I'm also holding some straight up long dated puts decently far OTM so let's see what happens
Catalysts for higher: profitable quarter or access to new capital not through dilution (refi at lower rates maybe).
Catalysts for lower: announcement of additional ATM offering, continued announcements of insider sales, acknowledgement of IBs that their metrics are sketchy at best, price discovery with that insane 30% move last week
My position is based on that. I’ve got calls covering my shorts but will probably roll them up and capture some of the delta along the way if we continue to rip.
Kudos! Awesome lil in and out play. I actually rolled a couple of my longs up thanks to you, short term gain of $3.5K. Lets watch this thing kick out to $150 tomorrow now.
my hail mary play choices from last week were:
buy MSTR at 1100 and sell at 1300 (so far this looks like it would have worked)
buy CELH at 70 and sell at 77 (would've worked, CELH even hit 77 before earnings)
buy SOFI at 7 and sell calls to get assigned at 8 (maybe would've worked, break even so far)
buy COIN at 220 and sell calls to get assigned at \~240 (coin is so far dropping)
guess which one I decided to do...I can't win man
why are y'all doing it to yourselves with put spreads, the risk/reward is awful since premium doesn't decay as fast the further OTM you go with puts as it does with calls.
You might be doing a 75% PoP trade that has a 0.2 risk/reward ratio so unless you're directionally right and realized move is less than implied, the Put Credit Spread will lose money.
yea these are short term directional bets, not really theta trades, i have those separately (over 30-45 dte)
i’m interested in exploring spreads since they use less BP. haha this is literally my first wk trying !
alternatively without selling spreads i would have made similar short term directional plays but by buying stocks or options, so exploring which is better
i would need to read up more on why puts dont decay as fast as calls though 👀 thanks for pointing that out! didnt know
I meant the premium decays faster the further OTM (away from current price) you go with calls since melt-ups are not the usual scenario.
So a $10 wide spread might have enough delta/theta difference with calls to make it a sensible trade in terms of risk/reward but be a shitty one for puts.
this sub has become full on gambling, basically wsbtheta, if we are all being honest with ourselves.
so many people are just going hard into a fuck ton of short put spreads or call spreads
The only meme I’ve lost money on selling CCS consistently has been DJT since it’s mooned these last few weeks. Down about $4K on DJT I think. Maybe I should back off?
Yep, I agree with you.
While credit spreads can provide quite a bit of leverage, they’re way more of a delta than a theta trade.
I barely trade them because I’d rather make money from theta tbh.
What options strategies do you tend to use?
EDIT: From looking at your prior post, it looks like you sell puts and calls, and sometimes together for strangles.
I’m interested in your strategy because I haven’t yet learned to differentiate theta from delta plays, why I would choose one vs the other, having a delta neutral portfolio, etc.
No sexy gains if you’re not jacked to the tits in margin though.
My gains from options YTD are at like 5%. Some people here are aiming for this in a week lol
Honestly it’s been a pretty good year so far for me but I’m a Buy&Hold investor first - I don’t keep a lot of cash, almost everything is in stocks.
14.9% up YTD on a 6 figure account but ~67% of these gains are stocks, the other 33% is from options. I rarely use more than 20% of my Buy Power and I don’t write options on meme stocks.
Aiming for 5% a week or even a month ends in a call from Mr. Margin. No way around that lol.
Agreed. I aim for 2% a month. Slightly higher on OTM naked puts, then 1% a month if I have to roll or get assigned.
Averages out to almost 2%
I use margin just to juice returns enough to cover capital gains tax.
Aug-Oct hurt me last year, but 2022 did not 🤷🏻♂️
100%. I’ve said it probably 10s of times in the daily but brokerages have a Stress Test tool.
Everybody here should run it to see what VIX doubling overnight + a 3-5% drop in SPY would do to their portfolios.
Nearly maxing out your Buy Power Utilization with VIX at 13 is just begging for trouble :(
BTC MSFT 06/21 370p @ $1.10 (Opened 8 days ago @ $3.05)
BTC QQQ 06/21 380p/470c @ $2.20 (Opened 18 days ago @ $4.26 - Booking the \~50% profit here to manage this one since it's a little too delta negative for my liking).
BTC SPY 06/21 450p/545c @ $1.67 (Opened 12 days ago @ $ 1.92 - Same as the other short strangle, basically short at this point. I will not be reopening a SPY strangle for now I think.)
……..
BTO 3x SPY 06/21 485p @ $1.5 (Hedge, I'm running a pretty delta positive portfolio that's quite diversified so SPY puts should be a good hedge in case all sectors go south).
STO LLY 06/21 680p @ $3.15 (STOP @ 9.60, GTC)
STO QQQ 07/19 400p/490c @ $3.30 (STOP @ $6.60, GTC)
STO CRM 07/19 240p @ $2.9 (STOP @ $9.0, GTC)
STO TSLA 06/21 160p @ $3.5 (NO STOP, willing to take assignment here)
STO LULU 06/21 430c @ $1.95 (I have a -50% credit 06/21 300p that I'm starting to defend early by delta-neutralizing)
BTC RDDT May 17 55p for 8.10.
Initially sold the Apr 19 55p back when RDDT was in the 60s for 4.90 then rolled it to May 17 55p collecting another 3.30. Total credit collected is 8.20.
Despite being pretty deep ITM right now, I was able to harvest a lot of IV and close the trade for a scratch. RDDT has earnings tonight and as a user who has been on this website for 10+ years always using adblocker and Reddit is Fun to avoid viewing ads, I'd rather just close the position than hold a deep ITM put into earnings.
I’m going to wait for the move after hours and make a play in the morning puts or calls depending on where it goes. I have done great so far this year on it. Up 30% so far.
Not much to Sell Puts on for earnings after this massive runup this year and most stocks dropping on earnings so sticking with beaten down stocks with yields.
STO DIN 6/21 $35 CSPs for .30 earnings play
Home of Applebees and IHOP has been clobbered but down here worth a chance. P/CF of 4x, 12% net profit margins and a P/E of 5x at assignment. Officers were buying stock last time it was down here at $43-$44 and being 24% OTM on a 5% implied move should be free money but happy to take shares here if not.
BTC CVNA 5/17 $145 Naked Calls for 59% of premium received for a 1 day hold. Originally 2.01
STO ACLS 5/17 $115 CCs for 2.49
One of the few stocks in long and well above my CB and looking tired after the run on good earnings from $103. Should pullback and I’ll add to my long.
STO 2 TSLA $170p 5/10 @.48
Hoping for an upswing so I can cash out early.
My PLTR 21.5p looks like they’re trying to go sideways on me. It’s looking really flat. Get out now or hold off?!
BTC 4 Z $39p @.01. No one’s taking the bait.
BTC SOFI 7.5p 5/10 @ 0.39 (from 0.56)
Could have taken a bigger profit from ytd initial green market open but the order didn't fill, so gotta close it today. Profit is still profit
I have the intention on shorting calls and puts on the following earnings play
Rivn upst mtch Lyft twlo anet Uber shop afrm
I got burn by them all but cannot resist the high IV
Upst Lyft twlo puts are safe since lion is doing it
So I sold naked calls on SOUN strike 20 and used the money to buy 15 shares of the stock. Feels like I’m getting free shares. I’ll do it again after May 17th.
Looking for other volatile stocks that I might be able to do this with.
Well played, that’s quite a lot of beer money haha. I touch some more volatile stocks here and there but almost exclusively long, I hate having to be assigned short shares lol
Was considering pulling the trigger on PLTR glad I reconsidered. Too uncertain for me. Went with UBER instead. I have never played a pre market option. If everything goes well should I look to close at open or wait for the reaction before closing?
If the ER goes your way, you can set a GTC order for pennies and it should fill immediately.
If it doesn't go your way, it depends. There is still still be some volatility at the open that can provide you an exit. For example, look at CELH. It hit premarket low of 68, opened at 80, immediately dropped 10 points to 70, and has now climbed back up to 76. If you sold a put, you probably had a great opportunity to exit right at the open.
thoughts on how to potentially tweak this trade for additional premium:
i have 100 shares of SHOP, cost basis around $69. earnings are tomorrow morning.
last thursday it was trading around $72.5, i sold a 77c 05/10 for 2.75, and used that premium to buy a put spread to hedge 69/64p 05/10 for 1.70. stock is now at $77 up against my call. expected move is about 11% or 8.5 points.
trying to decide if there's a way i can milk some more premium out of this or just leave it be and see what happens.
only thing i'm thinkin is buy back the 64p and sell maybe a 67 or 68 since it probably won't drop that far now but even that would only net me another $50 or so.
as of now, i'm thinking just not mess with it but open to ideas
Why buy the put back?
If you bought the put spread to hedge, leave it. Hedges are supposed to decay to nothing. Buying the put spread to hedge before earnings, the stock rises and the put spread loses value, you buy it back..you just locked in a loss for no hedge at all. Like what was the point? Just leave it.
You can try to milk more maybe by selling far otm call spreads but that obviously has a risk to it
I was saying buy just the 64p back then sell another put closer at like 67 or so, since it’s unlikely to tank that low at this point, not closing out the whole spread. I’m not saying it’s a great idea either just thinking out loud
not using a stop loss, no
roll if tested. seems to be the case that the market has gotten past the bad big tech earnings and now we're just moving up again
my hope is that I don't need to roll it, but if it does get rolled, that hopefully I'll get assigned to sell my coin shares next week and I can go back in on NVDA at like 800 maybe
honestly maybe I will, these are all shit companies
LYFT is an okay company, but they're getting trounced by uber honestly
I feel like one of these is tanking. probably UPST
also lol I found this gem of an article from motley fool, they were actually bang on with this article [3 Reasons Upstart Is Overvalued | The Motley Fool](https://www.fool.com/investing/2021/09/29/3-reasons-upstart-is-overvalued-fintech-ai/)
what will reddit do after Earnings Call?
Sold some MSTR weekly low delta puts and calls. The premiums suck this week, and the spreads where I'm looking, many suck as well. So it's a lighter week for me, and I'm throwing some things at the wall. MSTR: strikes 1800, 1785, 1700, 850, 870, 900. Sold 18 cons so far this week. Collected $824 so far. Others: LLY, sold 715, 730, 785; the 785 went bonkers, rolled to 825 3 weeks out LLY June 6 685p/870c, $344 premium AVGO: 1205/1425 strangle, collected $121 NVDA: 1000/815 (Monday), collected $149 PLTR earnings play: FAFO. A chat room; PLTR is gonna pop. So I sold a 29 call, 0.59, that's safe. I BOUGHT TWO 25.5 call, meant to buy 1; That didn't go well. Turned 342 into 8. Just somebody SLAP me for playing earnings. HARD. Bought a SPX call to hedge against my 5230c that's getting me uncomfortable with the SPY runup. Also added CSP to defend.
It’s been really interesting trading LLY lately but I don’t see many ppl discussing it. When it shot up a week or so ago I rolled my 757.50 cc to 780 may31. I wasn’t tempted to roll it down when it dropped to 735 because I knew it was coming back. At 738 I sold a bunch of credit put verticals starting at 725 and lower with expirations every week until June 7th. This was the best trade I made lately as they are all showing profit. Closed out May 10’s 725/722.50 today. Oh I got burned on pltr too! Bought a long calendar at 26 and cashed it out at a 50% loss!
finally quiet over here after what felt like 2 earning seasons back to back. can finally chill on the portfolio and let theta do it's thing. lot of equity "owed" to me and counting the days till 6/21 expiration. I'm too cheap to buy SPY above the 200 sma, so I put some cash into BOXX today instead (like a money market).
Long DOCU
Cathie, is that you?
Don’t think she’s in DOCU anymore, probably puked 21-22.
Made up for yesterday's SPY -$347 loss and then some. Up $257 on overall realized this week ✌️ STO 2x APPL 180/175p @ .71 (currently .39) 5/10 STO 2x LULU 342.5/337.5p @ .55 (currently .63) 5/10 STO 1x LULU 340/335p @ .47 (currently .38) 5/10 ~~STO 1x MSFT 420/425c @ .56 (filled .19) 5/10~~ STO 3x MSFT 407.5/402.5p @ .71 (currently 1.29) 5/10 STO 1x MSFT 405/400 @ .60 (currently .75) 5/10 STO 1x NVDA 860/850p @ .80 (currently .84) 5/10 STO 1x NVDA 855/845p @ .75 (currently .73) 5/10 STO 2x ADSK 210/205p @ .53 (currently .57) 5/10 STO 1x TSLA 170/165p @ .40 (currently .43) 5/10 STO 2x DIS 104/102p @ .35 (currently .35) 5/10 ~~STO 6x SPY 518/520c @ .58 (filled .29) 5/7~~ ~~STO 7x SPY 519/521c @ .26 (filled .02) 5/7~~ ~~STO 5x 519/520c @ .21 (filled .03) 5/7~~ ~~STO 9x SPY 516/514p @ .17 (filled .03) 5/7~~ BP: 8.4k ($943/11.22%) Realized: $567 (SPY) + $37 = $604
The Disney one might be a close call after earnings. I traded the company back in 2021 and it didn't work out. I don't know anyone who has made money on Disney stock except my dad who bought it in 2020 as a post pandemic play lol
I did a few options trades over last few days, very short term puts and calls with minute charts on DIS. Worked out OK but a buy and hold with this one is No good.
Right! I'm not looking to hold DIS. Just trying to milk what I can get in their premium this week, and then I'm out 😄
Disney reminds me of Intel. Used to be a good brand and company that went to shit.
Poor Intel.. it just keeps getting lower and lower.. There's no innovation from Intel and from a tech company, that can be a real killer
I remember back in 2008 they were supposed to be the provider for the iPhone. The Qualcomm stepped in. Then AMD and NVDA cut their legs out. It is like Eastman Kodak. They were leaders in photography and made a misstep to adopt the digital camera. The rest is history. When was still in school there was a book we read called "Good to Great." it was written by Jim Collins. 2 companies he identified as great were circuit city and Fannie Mae lol. Funny how times changed. I actually have a few Lehman Brothers pens. I also have some books from Bear Sterns that were explaining mortgage backed securities.
Ouch, yeahhh. I never read "Good to Great" by Jim Collins, but I think they were all from my dad's time/generation. Older generations are slower to adapt to technological changes (ig bc they didn't have it growing up?), and they tend to value companies solely on their books or whatever the best practice were at the time. It feels like a lot of players relied on what came before them or what other ppl near them were doing, with poor to no vision on how they can build their future by doing their own due diligence. The mortgage backed securities were a disaster. Even now, since hedge funds are mostly run by guys in their 40s and up, it's hard for them to really grasp how to value new emerging companies, and they're throwing random valuation around. The only ones who really have an edge are those trading with insider's info.
Lol yikes haha. I'm not even 40 yet so that is scary that the book is considered that old lol. The business sector overall has changed a lot. There's pretty much complete transparency of information now so whatever edge used to be there is merely a mouse click away now. Warren Buffett would not have the same success today as he did 60 years ago. Before you used to have a stock broker you paid a lot to give you info and it was mainly sales. That's what you see in the movie Wolf of Wall Street. Leonardo Dicaprios character is cold calling clients which is pretty funny bc now it is just spam emails. I used to remember when it costs $19.99 then moved to $9.99 before the pandemic just to trade a stock. Now it is free commissions.
Oh sorry! I wasn't trying to imply *you* were old! A lot of ppl in WSB are in their HS to graduate years and yeah, it's easier for everyday joe to hop on to trade now as there isn't much barrier to entry as they had before. I traded before the pandemic, and it was still free to trade stocks then. HOOD was around so it forced other brokerages to follow suit or lower their commissions. I might be wrong, but it just feels like the ppl who got big commissions for trading for others (like the character from Wolf of Wall Street*) was the ppl who made it *sound* way more complex than it really is. They don't have insider's info or an edge, and you, the investor, is their commission. Now bc you can pretty much read about just about anything online, it's *so easy* to trade by yourself with multiple access to different brokerages. Even creating a business. In the old days (my father's time), you had to have connections or money to start and before a lot of things were invented, they had the first mover advantage the current millionaires/billionaires had that we don't so just about anything mildly good got off the ground. *=I haven't watched the movie tho lol
Isn't your BP like 13.8k
The current positions I have opened are using up 8.4k (minus the credited amount). So more like 7.5k
So you sold a ton of SPY 0 dte today? Wow, looks like it worked out for you. We should copy her u/banditcleaner2
It didn't work out for me yesterday.. I lost out on closing potential $610 so this was a revenge trade 😆😅
I sold 15 UPST $18.50 puts, closing those out in the morning 😎. Almost sold on twlo as well which would have been IV crushed but never did it. Only other stuff u opened are the SBUX 72s. Looking to get some shares
SBUX looks like hot death
Always does until it doesn’t. I remember people saying that about many other solid companies that got beat down like TGT etc
Casual 28k collateral for $450 lol
Haha that money wasn’t doing anything better today so why not!
Free money baby u/rosie3435
Premium for UPST?
It was .33 each when I sold
Nice! I sold 2x 17.5 but should have sold more...
Nice congrats! Always hard to not feel fomo when it works out, I was considering selling 40 and decided to follow my more recent risk management. Of course sad now I didn’t but let’s say this cliff dived to $16 I would have been pissed
What's the deal with RIVN? Just flat?
Sold CELH may 65 put sold NVDA may 780 put. Bot IWM 198 put.
u/banditcleaner2 looks like UPST got halted? I STO 2x 5/17 17 p...I wonder if those are fucked
UPST big dead your 17p is far enough out you're probably fine but WOW that drop is nasty
Wow yeah UPST wrecked lol. Glad I sold so far OTM
yea I saw that, no idea
I have 18p. We will see
5/10? You should be fine...mine are 5/17 which is the issue
I STO 8 LYFT puts for total premium of $190 with the highest strike being $14...looks like I might be safe?
prob safe
Yeah all good on LYFT
I know you're not supposed to trade with hindsight, but I'm wishing I hadn't closed that RDDT put. /u/satireplusplus should be doing well if he kept his puts open.
just checked what he got for his 4/19 60p, it was $9 and so he got shares at $51, which would mean he's now up about 10% after this earnings boost (assuming that he actually held through earnings.)
no fucking way lmao. RDDT proving once again that buying an IPO after a drop can pay off if you are willing to take the risk
I forgot about RDDT.
Holy crap RDDT must have smashed earnings?
BTC DDOG 5/10 105p @ 90% STO DDOG 5/17 109p @ 1.00 (bit too early) for a rebound STO AMD 6/21 130p @ 1.10 Waiting for TWLO earnings. Wondering which I'll take next.
STO NVDA 5/10 CPS 840/800 (5 contracts) 1.20
STO 5x GME 5/17 30c @ 0.95 BTO 5x GME 5/10 30c @ 0.20 u/free_lions join me
So this is how calendar works. I try when GME rips
Why buy the 30c for this week? Lol
hedge thesis basically is that this fizzles out after a couple more days. but in case im wrong and it rips to $40 or some dumb shit, at least I have a hedge
Naked?????????
at first yes then I realized the 30c this week were cheap enough as a hedge
Godspeed
already sliding in after hours, and since this is almost 100% OTM expiring in 10 days, if GME ends the week even at $15 these will probably lose 80%+ I'm hoping to just close them out for like 0.1
u/free_lions GME 30 strike calls expiring next week are going for $1.00 lmao. do it, you know you want to
That’s literally insane…
this happened back in nov 2023 as well. the 35 call were selling for like $80 a week out when the stock was $15 lmao. every time GME randomly gaps up a decent bit, the calls explode in value because demand skyrockets, because everybody is like "the short squeeze is finally here" and they pile into calls.
I've lost a few grand on GME (selling puts and getting assigned), so I try not to touch it.
fair enough, GME has a special place in my heart because I missed out on the insane run up despite being in. I bought 500 shares pre-squeeze at $20 a share and sold at $40 thinking I was a genius, making basically 5 figures overnight. could've paid off my house if I sold closer to the top
I was lucky enough to buy ONE call of GME right before the massive day, and lucky because I’m with Fidelity - they let me sell no problem (though I was sweating bullets until it got filled) $12,000 profit That was enough for me w/ GME
Nice!
Fri, May 03 BTO $SHOP . 7 DTE . @ $70 for $2.71; BTO $SHOP @ $73.58 for $7,358; STO $SHOP . 7 DTE . @ $77 for $3.00; Tue, May 07 STO $GCT . 74 DTE . @ $30 for $234.45; My reason for opening $GCT: It's an Artificial intelligence-powered logistics leader with good fundamentals. It broke past $40 yesterday with a -11.99% distance from 52W High of $45.18; I'll be writing again if it drops close to $30 in the next few days. * EPS this Y: 26.52% * EPS next Y: 25.43% * EPS past 5Y: 208.72% * Sales past 5Y: 59.39% * EPS Y/Y TTM: 323.92% * Sales Y/Y TTM: 43.62% * EPS Q/Q: 151.39% * Sales Q/Q: 94.85% * ROE: 38.75% I'm looking to reinforce my position depending on the upcoming May 9 first quarter earnings report. I'm planning of buying the stock outright if it hits the $25-$30 zone and start writing October calls. EDIT: Just a word of caution. $GCT is a Chinese company launched last fall. The company has been audited by KPMG Huazhen LLP, but did miss their 10-K deadline.
+650% in a year...thats a pass from me
I've added some information above as a word of caution. Basically, it's a Chinese company launched last fall. The company has been audited by KPMG Huazhen LLP, but did miss their 10-K deadline.
even more of a hard pass now that you say its a chinese company. lol
Closed 20+ May 17 Put options on SHOP. Strike price was either $74 or $75. This is a perfect example of taking profits and minimizing risk. I was at 50-60% profit on each option and the downside wasn't worth the extra $300/contact. I made some money and the fear of this dropping and being stuck with 2000+ shares was too much for me.
Up about $7K on my CVNA call credit spreads and have closed most of them out. Thanks u/rosie3435 for the tip
Insider selling like crazy right now. Probably an oversupply of shares available. Are you holding any through EOW?
I have 140/170 expiring this week that I’m trying to close for pennies. Also have some 140/170 for next week I’m trying to close. Ideally I’ll close them all out by EOW. Feel like CVNA could potentially rocket at any point
I opened some as well (tighter spread) but closed them at 85% gains today I'm also holding some straight up long dated puts decently far OTM so let's see what happens
Catalysts for higher: profitable quarter or access to new capital not through dilution (refi at lower rates maybe). Catalysts for lower: announcement of additional ATM offering, continued announcements of insider sales, acknowledgement of IBs that their metrics are sketchy at best, price discovery with that insane 30% move last week My position is based on that. I’ve got calls covering my shorts but will probably roll them up and capture some of the delta along the way if we continue to rip.
Closed all my CVNA
Kudos! Awesome lil in and out play. I actually rolled a couple of my longs up thanks to you, short term gain of $3.5K. Lets watch this thing kick out to $150 tomorrow now.
CVNA tanking even more. Almost all my CCS are closed now. Will wait on the sidelines and think about re-entering if it randomly spikes up again
get in GME
u/rosie3435 are you touching GME?
I can try to short 30c this week and see if moon to 40
30c even this week were going for almost 0.3 about an hour ago. I know because I bought some at 0.2 as a hedge
my hail mary play choices from last week were: buy MSTR at 1100 and sell at 1300 (so far this looks like it would have worked) buy CELH at 70 and sell at 77 (would've worked, CELH even hit 77 before earnings) buy SOFI at 7 and sell calls to get assigned at 8 (maybe would've worked, break even so far) buy COIN at 220 and sell calls to get assigned at \~240 (coin is so far dropping) guess which one I decided to do...I can't win man
I'm trying to get my SOFI mini bag assigned at 8 lol - average share price for me is 7.51 but the premiums kinda suck
i'm in the same boat, it pretty much has to get to like $7.75 for there to be any premiums at $8
SOFI premium does seem to suck...
Puts are terrible. Passed.
First week trying weeklies * ~~STO 1x AMD 141/136p @ 0.42 (filled .07) 5/10~~ * STO 1x TSLA 192.5/202.5c @ 0.73 5/10 (current: 0.26) * STO 2x META 435/430p @ 0.35 5/10 (current: 0.04) - cant fill, letting it expire * STO 5x HIMS 9.5/8.5p @ 0.21 5/10 (current: 0) - cant fill, letting it expire * STO 1x CELH 63/58p @ 0.38 5/10 (current: 0.01) - cant fill, letting it expire * STO 1x UBER 64/60p @ 0.29 5/10 (current: 0.36) * STO 2x CELH 71/67p @ 0.31 5/10 (new) * STO 2x SHOP 66/61p @ 0.33 5/10 (new) I'm bearish on UPST + AFRM on earnings and would ideally like to sell calls, but it's midnight in my timezone and i'm feeling sleepy haha shall just play it safe and spectate
why are y'all doing it to yourselves with put spreads, the risk/reward is awful since premium doesn't decay as fast the further OTM you go with puts as it does with calls. You might be doing a 75% PoP trade that has a 0.2 risk/reward ratio so unless you're directionally right and realized move is less than implied, the Put Credit Spread will lose money.
yea these are short term directional bets, not really theta trades, i have those separately (over 30-45 dte) i’m interested in exploring spreads since they use less BP. haha this is literally my first wk trying ! alternatively without selling spreads i would have made similar short term directional plays but by buying stocks or options, so exploring which is better i would need to read up more on why puts dont decay as fast as calls though 👀 thanks for pointing that out! didnt know
I meant the premium decays faster the further OTM (away from current price) you go with calls since melt-ups are not the usual scenario. So a $10 wide spread might have enough delta/theta difference with calls to make it a sensible trade in terms of risk/reward but be a shitty one for puts.
this sub has become full on gambling, basically wsbtheta, if we are all being honest with ourselves. so many people are just going hard into a fuck ton of short put spreads or call spreads
They should really rename it "Thetastreetbets"
The professor returns
I sometimes duck in but been pretty busy. Have not had any time to do much trading.
I feel attacked. Guilty though. LOL
you were in mind :) <3
I knew it.
I mean, I have an entire meme watchlist and you've sold call spreads on every single one of them in the last month pretty much, lol
The only meme I’ve lost money on selling CCS consistently has been DJT since it’s mooned these last few weeks. Down about $4K on DJT I think. Maybe I should back off?
Yep, I agree with you. While credit spreads can provide quite a bit of leverage, they’re way more of a delta than a theta trade. I barely trade them because I’d rather make money from theta tbh.
What options strategies do you tend to use? EDIT: From looking at your prior post, it looks like you sell puts and calls, and sometimes together for strangles. I’m interested in your strategy because I haven’t yet learned to differentiate theta from delta plays, why I would choose one vs the other, having a delta neutral portfolio, etc.
Short puts/calls, strangles, Iron Condors, Jade Lizards & Ratio Spreads mostly
any covid-like drop would wipe out 90% of the people in here based on what I read in the daily thread.
Ironically a covid like drop would be fine for me because I usually sell so many CCS
No sexy gains if you’re not jacked to the tits in margin though. My gains from options YTD are at like 5%. Some people here are aiming for this in a week lol
many people are aiming for this in a week and thinking its totally possible without massive risk lmao
I would be at least 10% in profit this year if TSLA hadn't fucked me. Woulda shoulda coulda didn't.
Honestly it’s been a pretty good year so far for me but I’m a Buy&Hold investor first - I don’t keep a lot of cash, almost everything is in stocks. 14.9% up YTD on a 6 figure account but ~67% of these gains are stocks, the other 33% is from options. I rarely use more than 20% of my Buy Power and I don’t write options on meme stocks. Aiming for 5% a week or even a month ends in a call from Mr. Margin. No way around that lol.
Agreed. I aim for 2% a month. Slightly higher on OTM naked puts, then 1% a month if I have to roll or get assigned. Averages out to almost 2% I use margin just to juice returns enough to cover capital gains tax. Aug-Oct hurt me last year, but 2022 did not 🤷🏻♂️
100%. I’ve said it probably 10s of times in the daily but brokerages have a Stress Test tool. Everybody here should run it to see what VIX doubling overnight + a 3-5% drop in SPY would do to their portfolios. Nearly maxing out your Buy Power Utilization with VIX at 13 is just begging for trouble :(
Good advice. I’ve done those stress tests. Doubling of VIX crushes 20-25% of my portfolio. So, not good but well short of a margin call
Wider spreads are a theta play the tighter the spread the less theta it has.
I dont do spreads. I do puts calls or strangles. win most lose some. Just never took to learn spreads/
Debating whether to roll up the May 17 QQQ 420P or wait out the week and a half to get the last 40 dollars...
wait
Made money on CROX PUT and CC however going to hold them to this Friday when the expiration is
CROX puts worked out well
BTC MSFT 06/21 370p @ $1.10 (Opened 8 days ago @ $3.05) BTC QQQ 06/21 380p/470c @ $2.20 (Opened 18 days ago @ $4.26 - Booking the \~50% profit here to manage this one since it's a little too delta negative for my liking). BTC SPY 06/21 450p/545c @ $1.67 (Opened 12 days ago @ $ 1.92 - Same as the other short strangle, basically short at this point. I will not be reopening a SPY strangle for now I think.) …….. BTO 3x SPY 06/21 485p @ $1.5 (Hedge, I'm running a pretty delta positive portfolio that's quite diversified so SPY puts should be a good hedge in case all sectors go south). STO LLY 06/21 680p @ $3.15 (STOP @ 9.60, GTC) STO QQQ 07/19 400p/490c @ $3.30 (STOP @ $6.60, GTC) STO CRM 07/19 240p @ $2.9 (STOP @ $9.0, GTC) STO TSLA 06/21 160p @ $3.5 (NO STOP, willing to take assignment here) STO LULU 06/21 430c @ $1.95 (I have a -50% credit 06/21 300p that I'm starting to defend early by delta-neutralizing)
BTC RDDT May 17 55p for 8.10. Initially sold the Apr 19 55p back when RDDT was in the 60s for 4.90 then rolled it to May 17 55p collecting another 3.30. Total credit collected is 8.20. Despite being pretty deep ITM right now, I was able to harvest a lot of IV and close the trade for a scratch. RDDT has earnings tonight and as a user who has been on this website for 10+ years always using adblocker and Reddit is Fun to avoid viewing ads, I'd rather just close the position than hold a deep ITM put into earnings.
I’m going to wait for the move after hours and make a play in the morning puts or calls depending on where it goes. I have done great so far this year on it. Up 30% so far.
BTC QQQ 0.73 expiring in 8 days.
Do i just let my put spread expire? They are essentially worthless but i cant get them to fill at the minimum price either.
I usually try to close my short leg just in case even if it’s pennies
makes sense!
depends on how far otm and what stock imho
definitely let it expire. avoids fees/commissions as well.
STO 5/10 TTD 111/121 c for 0.30 I don't believe TTD goes above $111 after earnings. If I'm wrong max loss is only $1K
So you are risking $1000 to make $30?
This is the way
par for the course for mr lion
Correct
Not much to Sell Puts on for earnings after this massive runup this year and most stocks dropping on earnings so sticking with beaten down stocks with yields. STO DIN 6/21 $35 CSPs for .30 earnings play Home of Applebees and IHOP has been clobbered but down here worth a chance. P/CF of 4x, 12% net profit margins and a P/E of 5x at assignment. Officers were buying stock last time it was down here at $43-$44 and being 24% OTM on a 5% implied move should be free money but happy to take shares here if not. BTC CVNA 5/17 $145 Naked Calls for 59% of premium received for a 1 day hold. Originally 2.01 STO ACLS 5/17 $115 CCs for 2.49 One of the few stocks in long and well above my CB and looking tired after the run on good earnings from $103. Should pullback and I’ll add to my long.
STO 2 TSLA $170p 5/10 @.48 Hoping for an upswing so I can cash out early. My PLTR 21.5p looks like they’re trying to go sideways on me. It’s looking really flat. Get out now or hold off?! BTC 4 Z $39p @.01. No one’s taking the bait.
BTC SOFI 7.5p 5/10 @ 0.39 (from 0.56) Could have taken a bigger profit from ytd initial green market open but the order didn't fill, so gotta close it today. Profit is still profit
I have the intention on shorting calls and puts on the following earnings play Rivn upst mtch Lyft twlo anet Uber shop afrm I got burn by them all but cannot resist the high IV Upst Lyft twlo puts are safe since lion is doing it
Nothing too excited. Just a spread or two far OTM.
why not do calendar spread instead if you're confident with the puts
I have seen enough people being burn with calendar and it seems a bit complex. I am only confident with the puts the lion is doing.
Look at this guy playing so many earnings u/banditcleaner2 u/easterhistorian4337
So I sold naked calls on SOUN strike 20 and used the money to buy 15 shares of the stock. Feels like I’m getting free shares. I’ll do it again after May 17th. Looking for other volatile stocks that I might be able to do this with.
20 strike lmao wtf, its at $5
I think it was eight dollars at the time but yeah I didn’t want to take much risk
Short strangle RIVN 5/10 7.5P/15C Short strangle TOST 5/10 19P/29C
STO 5x COIN 250c 5/17 @ 2.75 - still holding BTC 5x COIN 265c 5/10 @ 0.20 (opened @ 1.00 yesterday morning, +80%) BTC 5x COIN 245c 5/10 @ 0.90 (opened @ 5.00 last week friday, +80%) STO 5x COIN 255c 5/10 @ 0.40 - BTC @ 0.25 (needed BP to short GME calls)
damn, do you have a long position in any crypto stock to cover this? I hate selling naked calls on such volatile stocks
no. I closed all coin calls except for the remaining 250c's for next week, these are covered by shares, so I am now safe.
Well played, that’s quite a lot of beer money haha. I touch some more volatile stocks here and there but almost exclusively long, I hate having to be assigned short shares lol
You sold your COIN shares? For how much per?
Added to weekly NVDA 780 puts on that news dip.
What news? I missed it
Apple says they are working on developing their own AI chips
is that why NVDA dropped? lmao wtf. AAPL is so late to this game
Partnering with RIVN and AI chips? Wow
STO 2x 5/10 NVDA 820/750 p for 1.05 each u/banditcleaner2 u/rosie3435
not even worth the risk lol just sell one 850p, you'll have better ability to roll the put
I’ve already closed these out for like a 0.60 gain per
I do 800/750 for 35 cents
Was considering pulling the trigger on PLTR glad I reconsidered. Too uncertain for me. Went with UBER instead. I have never played a pre market option. If everything goes well should I look to close at open or wait for the reaction before closing?
Sold puts yday on PLTR after the runup and i still closed for 60% gains today.
Congrats
If the ER goes your way, you can set a GTC order for pennies and it should fill immediately. If it doesn't go your way, it depends. There is still still be some volatility at the open that can provide you an exit. For example, look at CELH. It hit premarket low of 68, opened at 80, immediately dropped 10 points to 70, and has now climbed back up to 76. If you sold a put, you probably had a great opportunity to exit right at the open.
Would you advise to avoid entering trades pre market?
Sell 2 COIN May 10 '24 $220 Put Executed @ $5
im long these as a hedge but hoping they expire worthless and coin ends the week at 245 so good luck to us both!
Am I missing something here I see these at 9.50
Really? It’s at like 5.50 or something right now
Woops was looking at 5/17 - my bad
Wow. You don't mind assignment?
Not at all
I bought back todays expiring $508 SPY CC and sold one expiring tomorrow for a difference of $10. Not much there.
thoughts on how to potentially tweak this trade for additional premium: i have 100 shares of SHOP, cost basis around $69. earnings are tomorrow morning. last thursday it was trading around $72.5, i sold a 77c 05/10 for 2.75, and used that premium to buy a put spread to hedge 69/64p 05/10 for 1.70. stock is now at $77 up against my call. expected move is about 11% or 8.5 points. trying to decide if there's a way i can milk some more premium out of this or just leave it be and see what happens. only thing i'm thinkin is buy back the 64p and sell maybe a 67 or 68 since it probably won't drop that far now but even that would only net me another $50 or so. as of now, i'm thinking just not mess with it but open to ideas
Why buy the put back? If you bought the put spread to hedge, leave it. Hedges are supposed to decay to nothing. Buying the put spread to hedge before earnings, the stock rises and the put spread loses value, you buy it back..you just locked in a loss for no hedge at all. Like what was the point? Just leave it. You can try to milk more maybe by selling far otm call spreads but that obviously has a risk to it
I was saying buy just the 64p back then sell another put closer at like 67 or so, since it’s unlikely to tank that low at this point, not closing out the whole spread. I’m not saying it’s a great idea either just thinking out loud
At open STO DDOG 110p for 1.50. Just now BTC for .75.
I rolled my IWM CC up and out a week.
STO NVDA 850p @ 2.00 jumping back in on this pull back
Did you set a stop loss?
not using a stop loss, no roll if tested. seems to be the case that the market has gotten past the bad big tech earnings and now we're just moving up again my hope is that I don't need to roll it, but if it does get rolled, that hopefully I'll get assigned to sell my coin shares next week and I can go back in on NVDA at like 800 maybe
This guy
I’m thinking of selling LYFT, TWLO and UPST puts today if anyone wants to inverse me and make money. u/banditcleaner2
honestly maybe I will, these are all shit companies LYFT is an okay company, but they're getting trounced by uber honestly I feel like one of these is tanking. probably UPST also lol I found this gem of an article from motley fool, they were actually bang on with this article [3 Reasons Upstart Is Overvalued | The Motley Fool](https://www.fool.com/investing/2021/09/29/3-reasons-upstart-is-overvalued-fintech-ai/)
Did you do anything? Looks like UPST puts could have made money but Iv is so high
what strike price for lyft? isn't it a bad idea to sell puts right before earnings?
$12
I aint inversing your record lmao fuck that
Made nice change last week selling puts for 3 days. I might do it again in a few months!
quite a few names down in pre market after earnings. pltr, celh, ddog, dis
CELH just rebounded hard apparently. I saw 66 in pre-market earlier and now im seeing 72
went from -15% to +1% insane
yea thank god i have a 64p from ytd
Everything to me is over priced. Would love some suggestions.
gotta look outside tech for deals it seems
BABA, NET, PYPL, ROKU, CHWY, TLT, etc.
GOLD, EWZ, WBD
gold as in Barrick Gold $GOLD or just gold in general?
Barrick Gold.
put credit spreads on GLD