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  1. adiggs

    Wiki Selling TSLA Options - Be the House

    I take the early close when its worthwhile and available / good, mostly to set myself up to open a replacement position, even though the new position isn't available at that moment. I also realize an available profit, but the focus is being ready for the next position to be opened. In this...
  2. adiggs

    Wiki Selling TSLA Options - Be the House

    Despite this I decided to carry through with my buy-writes from last week in which I only did the buy component ($700 pretty close). I just opened 700 strike calls for $13ish. Given that I close these at $1 and the purchase was really $703 then I'm looking for a $9 profit at all share prices...
  3. adiggs

    Wiki Selling TSLA Options - Be the House

    When I'm being more precise I describe these as call credit / put credit spreads (when I sell them), and call debit / put debit spreads (when I buy them). We're almost exclusively opening put and call credit spreads around here (receive money on open, pay money to close).
  4. adiggs

    Wiki Selling TSLA Options - Be the House

    One thing about buy-writes; I'm finding, so far, that a benefit (to me) is that these tend to earn their premium in a rush at the end of the expiration, with pretty large moves needed for a quick early close. This might (probably is) more of a function of being so close to the money with the...
  5. adiggs

    Charity Bet #1: When Will TSLA close above $1250

    July 2023 EDIT to add: OMG - I just realized @Cosmacelf . I hadn't put your avatar together before - now I partlcularly like that outcome!
  6. adiggs

    Shorting Oil, Hedging Tesla

    I've got me some popcorn and Jan '24 CVX 100 strike puts, now priced at 6.25 (up from 4.00 when I purchased). So far they taste better than popcorn. Maybe CVX being both a refiner and a miner is a particularly good choice - I have been more thinking that the refiners might be the winners in...
  7. adiggs

    Wiki Selling TSLA Options - Be the House

    Shares in the 703ish range, I am opening two new positions. In one account I've purchased shares at 703ish and sold the 690 strike call for this Friday collect $27. I'll get a max gain of $14 on every share price above 690. More interesting is that I consider this price to be particularly...
  8. adiggs

    Wiki Selling TSLA Options - Be the House

    Don't know what to make of this early price action. As I closed my buy-writes on Friday I've been hoping for a noticeably large down day today so I can reenter. With production report coming soon, I expect over the weekend, I am anticipating a more up than down week leading into that...
  9. adiggs

    Wiki Selling TSLA Options - Be the House

    My experience and reading (not finance or tax person though) is that the premium of the most recent / last covered call rolls into the shares on their sale. So buy at 726 and sell a cc for $7 - those shares have a 719 cost basis when they get sold. This matters, I think, mostly if those shares...
  10. adiggs

    All discussion of Rivian Automotive

    (Not aimed at you @zecar - just using your post as a staring point). This was one of a host of articles, back in the day, that was intentionally or unintentionally demonstrating a basic misunderstanding of accounting. There's a reason for the 3 basic financial reports, and I commend basic (2-4...
  11. adiggs

    Wiki Selling TSLA Options - Be the House

    Wanted to put this in a separate, and smaller post. My logic is I want to buy the shares on a down day, same as for a csp. I sell the call at the same time, and I want the share price to rise after opening the position. The shares will gain value faster than the short call loses value, and...
  12. adiggs

    Wiki Selling TSLA Options - Be the House

    Put it together into a single transaction. When the short call is reasonably close to the money (say $50) then the bid/ask is small and if its on the same ticket then a changing share price won't matter. In practice I tend to use market orders and enter the two positions separately. So far I...
  13. adiggs

    Wiki Selling TSLA Options - Be the House

    One notion to keep in mind regarding straddles - as the share price moves away from the straddle price, the losing side will be losing faster than the winning side is winning. The further away you get, the more dramatic this affect will be. Has to do with the changes in delta. If you hold to...
  14. adiggs

    Wiki Selling TSLA Options - Be the House

    NOT-ADVICE. You'll want to think through buy-write dynamics yourself, and probably put on a small position for a few weeks or more to test drive them. I've been thinking more about the buy-write and why I'm liking it so much. Given that $700k (call it 706k for the current share price), I can...
  15. adiggs

    Google Maps updates aerial view of SpaceX Boca Chica facilities

    OR 100x the solar panels. That's shrink the 15 years down to 1.5 years (18 months), down to 1.8 months. Or another 10x to get down to 5 days. I hear there is a LOT of unused real estate on Mars. Getting the panels there, or manufacturing them in situ might be a challenge ...
  16. adiggs

    SpaceX F9 - Globalstar FM15 - SLC-40

    Lol. A nice spin on the older Memorex cassette tapes: "Is it live, or is it Memorex?". Who knows? "Is it aliens or is it SpaceX" (because what else could it be). Who knows?
  17. adiggs

    Charity bet #3: first Starship in orbit (redux)

    Apparently we are all dubious of something happening that fast :D
  18. adiggs

    Wiki Selling TSLA Options - Be the House

    Congratulations. I know you're thinking about stuff like this, but my not-advice advice to be thinking about: - in retirement, at least for me, option sales / trading is about generating a dividend-like income. I'm doing a better job, today, about NOT entering positions designed to produce...
  19. adiggs

    Shorting Oil, Hedging Tesla

    NOT-ADVICE Minor update - in late April when CVX shares cleared 170ish I bought some Jan '24 100 strike puts for $4. It was a small position mostly designed for me to have some skin in the game and to have a more tangible personal result from what I expect the price of oil over those couple of...
  20. adiggs

    Shorting Oil, Hedging Tesla

    I agree about the direction in price for everything, given that energy is more expensive today than 2022. The thing is that the cost to produce electricity by burning natural gas varies 100% with the cost of natural gas. I don't have any numbers to gauge the change in the cost of manufacturing...
  21. adiggs

    Wiki Selling TSLA Options - Be the House

    Just saw my first mention of "quality" as the dominant investment thread as the recession arrives. As the "quality" idea gains traction I expect Tesla to outperform. It will probably take the Q3 production report (October) for Tesla results to clearly put Tesla into the "quality" camp, as...
  22. adiggs

    Wiki Selling TSLA Options - Be the House

    Yeah - the FOMO in both directions is a thing :) Its a lot easier for me to keep a significant level of cash (or shares in buy-writes looking to sell back into cash) as that looks like a critical risk management component of my larger retirement income plan. Namely - damp out the swings, up...
  23. adiggs

    Wiki Selling TSLA Options - Be the House

    Today is why, though I still have an overall bearish view on the market and share price between now and say September (or at least late August), I have also been primarily worried about and managing the risk of a big move -UP-. There is a LOT more room above than below; a big move up is a good...
  24. adiggs

    Wiki Selling TSLA Options - Be the House

    I'll add on - one problem with how I do my active closes, at least the first time around, is that the two legs are closed separately - probably using market orders. I tried to close them on a single ticket but couldn't find an option to sell the specific shares I wanted.
  25. adiggs

    Wiki Selling TSLA Options - Be the House

    My own choice is an active close at low extrinsic value on the short call - say $1 or lower. That's the fallback for when the buy-write goes DITM and ensures that I earn the opening credit along with the strike to strike change (share purchase price - short call strike). I prefer actively...
  26. adiggs

    Mobile Starlink Discussion

    OT I realize, but for those towing, the default when you get hooked up is for tow mode to be on. However you can go into the interface and turn it off - that'll get you access to autopilot while towing.
  27. adiggs

    Wiki Selling TSLA Options - Be the House

    Interesting questions. Regarding the closes yesterday vs. today, not questioning them in the least. Then again once I make a trade the only question I ask myself later is whether there was something I knew, when I made the trade, that I would use in the future to make the trade differently...
  28. adiggs

    Wiki Selling TSLA Options - Be the House

    Is it just me, or is $650 the closing price today? With the buy-write positions I decided to sell 700 strike cc's for next week at 7.60ish. With a break even around 660 having these close anywhere above 700 will generate over $45 over a 4 week window - a great result. I specifically chose to...
  29. adiggs

    Wiki Selling TSLA Options - Be the House

    Took advantage of the big move down today to close cc's that are part of buy-write positions. I had 680 and 650 strike cc's expiring this week. The 680s were something like $18 in, $1.80 out ($16 gain). The 650s were something like $43 in, $9 out - about $34 gain. The account where I ran...
  30. adiggs

    Wiki Selling TSLA Options - Be the House

    I decided on a mix. Opened 650s in one account looking more for gains to the downside and to keep the overall credit growing ($34 credit). Mostly went with 680s (shares around 666) for an $18 credit. These are for expiration this Friday. If we go down from here tomorrow then the 650s will...
  31. adiggs

    Wiki Selling TSLA Options - Be the House

    You are absolutely correct. The position is made up of two components. The short call that I opened at $42 and closed at $8 generated $34 in realized profit / income. Meanwhile the shares purchased at $722 are showing an unrealized loss (shares at 660) of $62. EDIT to add: looks look my...
  32. adiggs

    Wiki Selling TSLA Options - Be the House

    Closed out 700cc sold on Friday for $42 this afternoon for $8. These are part of a buy-write position with shares at 722. Since I'm looking for $2-4 each week from the positions, these results are also generating the income that my regular cc's are not generating, as I continue just sitting...
  33. adiggs

    Tesla, TSLA & the Investment World: the Perpetual Investors' Roundtable

    I wonder if that extended heads up avoids a big squeeze, while also creating the desired end result. The rolling naked short gets cleared ahead of the split, and then has to be restarted. Do that enough times and maybe the big rolling naked short just goes back on the shelf.
  34. adiggs

    Tesla, TSLA & the Investment World: the Perpetual Investors' Roundtable

    My takeaway is that this is the board's way of telling investors that we'll all be involved anytime in the future there is a split, at least the next time around. I was expecting / hoping for more like an increase to 100B authorized shares so the board could split several times in desired...
  35. adiggs

    Wiki Selling TSLA Options - Be the House

    With shares down around 720 I acted on the buy-write positions I had open for this week. I did a simple roll of the cc component to next week and retained the 700 strike. That realized about $8 or $9 on the position expiring tomorrow out of $18, and set me up with a $23 max gain on next...
  36. adiggs

    Wiki Selling TSLA Options - Be the House

    I'm no help :D I wouldn't turn all of my shares into leaps, and if/when I do it'll be Jun 24 500s. I'd choose the further leap so that even if we keep going down and see 600, then they will still be ITM. Then again I also use these to sell calls and being ATM or OTM is bad for that. I am...
  37. adiggs

    Wiki Selling TSLA Options - Be the House

    An additional observation about the buy-writes; its easy to keep track of the time value remaining in the position, especially when you have strikes such as the 700 I have right now. Take the share price, subtract the call strike (700 right now), and anything over and above this amount is time...
  38. adiggs

    Wiki Selling TSLA Options - Be the House

    For interest - I see IV going down on the June '24 options; at least the 500 strikes that I actually own some of. Shares up $1.50 right now, those options are down $10.50. That sounds like about a 2 point drop in the IV; not a lot, but its also a start on those leaps becoming more affordable...
  39. adiggs

    Wiki Selling TSLA Options - Be the House

    not-advice I've got some buy-writes open right now (purchased shares ~720, sold 700 strike cc for this week expiration; about $16 profit if held to expiration and share price >700 - anywhere above 700). What I've been finding interesting, and this might be due to using an ITM short call, is...
  40. adiggs

    Wiki Falcon Super Heavy/Starship - General Development Discussion

    I don't expect it to happen either, and I wouldn't be surprised if the orbital mechanics makes it unworkable. If the orbital mechanics did work out, I don't think that the cost would be an impediment to Elon if he otherwise thought it would be a good thing to try.
  41. adiggs

    Wiki Falcon Super Heavy/Starship - General Development Discussion

    It'd be pretty awesome if the first orbit test of Starship brought along a few starlink satellites to leave behind :D
  42. adiggs

    Tesla, TSLA & the Investment World: the Perpetual Investors' Roundtable

    How about "next buy orders at Tomorrow"? Well - unless we open on a serious spike, so <750? :D
  43. adiggs

    Wiki Selling TSLA Options - Be the House

    Adding on - though I do have cc open now, these are part of buy-writes and using cash that would be backing csp. I'm treating these as if they are csp. I have other shares and leaps that I would like to be selling cc against, but they have purchase prices in the 850ish and 930ish share price...
  44. adiggs

    Wiki Selling TSLA Options - Be the House

    I decided to open some buy-writes today. With shares around 720 I've purchased shares and sold 700 strike calls. By selling ITM calls like this I'm selling about $16 in time value. As long as the shares finish the week >$700 then I'll be able to close for that time value of $16. If share...
  45. adiggs

    Wiki Selling TSLA Options - Be the House

    I for one really appreciate the various technical analysis and other short term views on the market in general, and TSLA in particular. There are more than I'm going to follow myself and I doubt I'll take any of them as the source of my own decisions. But its all stuff to throw in the stew...
  46. adiggs

    Wiki Selling TSLA Options - Be the House

    Whatever I think -might- happen around the production report, I plan to be out of both puts and calls for it. Then again I'm looking for dividend like results, and the wildcard of a really big reaction in either direction -- I plan to watch from the sidelines.
  47. adiggs

    Wiki Selling TSLA Options - Be the House

    Definitely not enough cash buffer in these accounts, sigh. That's ok - we'll wake up to a -50 day tomorrow and I'll use the cash on another buy-write instead of csp. Or I'll sit on the sidelines and look for a 650 - 680ish kind of share price and use the cash to buy more leaps (and start...
  48. adiggs

    Wiki Selling TSLA Options - Be the House

    As an FYI - I don't know what's going on, but I seem to have unsettled cash from closing the buy-write on Friday that I can't trade with today. This is retirement accounts and were Margin classed securities (rather than Cash classed). I expect I'd be able to trade with that today, but it looks...
  49. adiggs

    Wiki Selling TSLA Options - Be the House

    Just did a partial open of 850 strike cc for this Friday. By partial open, these are mostly the options I'm looking to sell somewhere <1000 share price, and I feel I can roll up the 850 strike should I need to. Good for a bit over $2. I also opened some 700 strike csp for this Friday for...
  50. adiggs

    Wiki Selling TSLA Options - Be the House

    My boss asked me that as well. Kinda cool - he asked me to unretire and help out on my old project, in whatever way and under whatever restricitions I would be willing to help out. I was even going to help out a bit by transfering knowledge to the new folks on the project (they hadn't been...

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