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Ú Trying to see the dynamic of this. What did you pay for on the Jan26 +p1000?

I don't completely understand this mentality. This is only true if you turn around and resell the exact same option at the exact same time. Assignments happen overnight and if the share price shot up, then you wouldn't be able to recoup that extrinsic as the same option is now worth less when...

This is absolute premium and not normalized right? I.e given that nvda is almost 3x tsla, you can get almost 3x the premium given the same capital.

I see the same without premium.

Good that you cut your lost early. I was expecting 3 wives....

This is probably the biggest unknown feature of the horn that I see. Just slam your whole palm on the right side of the yoke where the buttons are and the horn will go off. No need to look for that horn button.

No, I have been tracking these for over a week now. They have always been there. You had a thesis, but this proofs it wrong.

Not the first 2 I post. Delivery for both is from Peabody.

Look under 02026.

@Troy look in Boston. Multiple cars listed of same configuration/color.

I was not aware that Tesla is blocking reservation changes. Thanks for the heads up.

I have a Model S reservation that I'm looking to sell. Car was ready for delivery last week, but I didn't take delivery and is now on hold. This is in the Boston area. FSD shows up as $10k option also if you are interested. So that's a potential $7k savings.

I have 021822 850CC that I've been rolling along. Thinking of just letting them go at that time. But also looking to turn those into a short straddle. Selling 021822 850P is a about $49 now. So lost would be below $800 by then. Looks like good premium if I'm okay keeping the shares. Anything...

Does anyone know what happens in an IRA account when selling spreads if there is an early exercise? Let's say if you have a 100k account and sell a 1200/1300c spread. The short leg is itm, and it gets exercise. Long leg is not itm. What happens here? There's no margin in IRA account. And you...

How are folks dealing with CCs other than rolling or taking the loss?

Did you roll your 11/5 -1020c also? I have -1020c for 11/12, deciding what to do...

If you break this down, this is what some are already doing here. Going to cash and selling bps to make more than the appreciation of the shares. Since you have so many shares, instead of cashing out your shares now to get that boat load of cash, you can a million bucks just like that selling...

Let's say if the share price drops to 850. Your CC premium is not as good anymore and you are holding onto the shares waiting for the price to go back up. Think Mar/May timeframe. You've essentially locked up your capital in TSLA shares. This was what the thread started as :). Wheeling TSLA.

Looking at 10/22 a put @905 is 15.70 and a call @910 is 17.65. Buying the shares @905 is the same capital requirement as selling a naked put @905. So with a buy/write, start out taking the share for an incremental premium. But selling the put, you are starting the "wheel." But with the put...

This is the same as selling cover calls? If shares go down below 905, you locked in your capital waiting for it to go back up?

I actually like seeing trade sizes as that tells me the confidence level that the person is trading at. An example is @Lycanthrope, where they are saying 40x is no big deal. But if you are mostly trading 10x, then 40x IS a big deal. And plenty of times you see test positions, which I would just...

I have -860/960 call spread this week. Debating whether to roll by end of today or let it go over earnings. I'm still able to roll 2 weeks out to 870/970 for a $3 credit. Historical data is on my side that it'll be sell the news tomorrow. If that's not the case tomorrow and IV crush takes...

Simplistically, a regular Reg T margin account mandates that you have to have 50% of your holdings be covered in cash. The combination of your shares/cash could create an amount that's greater than this 50% requirement, which is the SMA. SMA is usually less than the house excess (I've never seen...

Does anyone here have portfolio margin? I have been a boring indexer for as long as I can remember and I want to be able to put those shares to good use. If I cash them out, I would have a pretty big tax bill. With a regular margin account, you would still run into SMA limitation, which doesn't...

What a crazy day! I had multiple opportunities to roll my 10/15 830/850 to 10/22 870/920 for $1.60 credit. However, thought it would end around there and was waiting for theta to burn. Went to do a quick errand at 831.xx and came back to the run up! Ended up rolling it out to 10/29 870/920 for...

Sitting here waiting for this this to happen...have oct15 -830/880 C

That's what I said last midweek, until Friday when I changed my tuned and said darn! I should've kept those 810/860C spread :)

Here's my 2 cents on the thread. The reason why this thread is so successful and didn't fall to the wayside like other threads is the evolving nature of it. It's like a conversation in real life. It evolves. We talk about positions and strategies during trading hours and talk about hopes and...

Wow...10/15 calls took a beating. Closed out my -860/910 opened yesterday for 78% gain!

In some instances (today actually!) it's harder to fill if you keep them synced up. If the long is so OTM, there might not be enough buyers for you to fill your hundreds of contracts. In this case, I just break them up into 2 orders and let the long fill on its own. I actually gained a penny...

It's either me visiting @Chenkers or vice versa :p Okay, now you have me asking...how the heck did you arrive at standard deviation being 715? Is there a formula that you plug a share price in?

I have been been keeping my options premium as cash. I started out trying to accumulate shares, then realized that it's hard for me to time an entry point. Then I noticed that my options premium simply eclipsed whatever my share price gains were. I made money regardless of whether the share...

I use etrade and you can definitely roll/close both legs of the BPS at the same time. That's the only way to manage your margin efficiently. You do not need power etrade for that. In etrade, you can create a ticket with up to 4 different "actions." But easiest is to go into the trading screen...

I concur. To me time is "free." Trying to keep the same expiry and doubling down just seems to me you are pushing yourself into a corner. Once the spread is small enough, there's just really no good way to move out in time without paying for it. Having said that, if you started with a wide...

My take on taxes....Uncle Sam never takes 100% from you...why sit out on XX% if you think you can get it?

I opened OCT08 -p700/+p600 for 7.90. I normally do $50 spreads. However, I'm hedging that IV will go down next week and will move from 600 to 650 when it's "cheaper". We'll see how this works out.

For those that are on interactive broker, is there a way to roll using the web interface and not TWS? I'm helping out a family member and can't seem to see anything on the web interface to do that. TWS is too complicated for a beginner to navigate.

I just executed a flip roll for the first time. Had 50 OCT1 -c790/+c840 that was definitely challenged. Used the opportunity this morning to turn that into 100 -p760/+p700 for 1.60 credit. Now that I closed out all my calls (except a few CC's that are ITM), we can now resume moving up....

STO OCT1 -p700/+p650 @3.30 BTC @1.54 More than 50% within a few hours. Hard to pass up. Waiting for pull back to re-enter position.

Wow! Thought I was safe @ -C770/+C825 for today. Rolled up from 760 yesterday. Decided to roll out to 1001 -c790/+c840 for $3 credit. Rather than taking a chance of it not executing due to the long leg @825 as a spread BTC, I only rolled the short leg and bought another long leg to create the...

It's interesting that you mention this. Stumbling upon Paydirt's Options Investing Guide and this one earlier this year actually made me decide to retire from work. I see a clear path to income replacement at multiple times my current income (when you get paid peanuts, this is easy :)). If the...

For those that have Etrade, I noticed something interesting with regards to fees. Etrade allows you to BTC a position .10 or less for free. If this is bundled with another position in the same order, then it'll cost you. For example, if you wanted to close out a 100 BPS for 0.01, it'll cost you...

This is a safe play to not sell below your cost basis, but if you are willing to manage them a bit, you can always sell for closer to the share price. Keep rolling it along for whatever incremental strike price you can get. This gets you higher premium while waiting for the share price to come...

I think this actually can be exploited not just for margin management, but also when deciding whether to close out a position early and take the gains or not. The reason why I would potentially close a position out early is not only to take the gains, but because I feel that the share price...

I'm looking to buy DITM LEAPS either Jun23 or Jan24. The purpose is to use these to sell calls against. One thing is the extrinsic value of the option. If I get Jun23 C400, it's 372. That's 735-400 = 335-372= $45 of extrinsic value. As I move up the SP that's still ITM (ie 500), the extrinsic...

STO 9/17 CS -770/820 @2.95 BTC @1.10 STO 9/17 CS -780/830 @1.3 BTC @.37 I figured this is good enough for a few hours this morning. If it does run up again, I'll re-enter these. I did the same with puts yesterday. The taking profit at 25% discussion got me thinking. Maybe this is the way to go...

I just made a trade blunder that turned out to be a potential strategy that I think could work out well. I have a call spread of $50 on SHOP. It has a big move today and I wanted to sell another call spread. However, I selected the SP of the short leg the same price as my long leg from the...

Ah...that makes sense. When you turn around and buy the shares immediately. Thanks!

@adiggs can you expand on receiving time value as profit if the option is exercised early? When it's exercised, the contract is essentially "completed" and you are not getting anymore money for it. I am not sure how you would get the time value.