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Wiki Selling TSLA Options - Be the House

dc_h

Active Member
Feb 14, 2015
3,548
13,469
Naperville, IL
The put wall holding max pain at 700 is amazing, but the active trading battle between the 740 puts and 750 calls really implies the market makers are going to try to keep us under 750, but it's interesting if they have lost control. I sold a call spread at 775-825 after closing a 780-830 spread when we went down this morning. Still holding 750, 755, 760 cc's. I'd close my bps, but waiting for time to knock out more value. I may roll up 710-660 up to 720-670 or 725-775. Still seems like too much money on the table to not drive the price back down to 745-750. I'm ok going to the wheel into next week, but want to be longer than usual going into P&D.
 

Lycanthrope

S3XY old dude
Supporting Member
Nov 15, 2013
10,070
79,347
At home
Unexpectedly pleasant price action today, puts looking all very nice right now, tempting to close out the p740's, but maybe wait and see if we get a bullish close, after all, they can always be rolled

In the meantime STO 55x cc/lcc765's @$2.05

Theta decay should also kick in big-time towards close
 

Drezil

100k/Day-Club Wannabe
Jan 14, 2021
536
5,161
Germany
pulled my oct 740/680 BPS to 24/9 and then rolled 680 -> 700, 740 -> 720. Will revert automagically (orders set) if we dip down to 740 again (e.g. friday), but take in 8k extra or so along the way.

also went max amount on my -760c (only 2.64 average .. price currently @3.40). But they bring in ~5k in Theta the next 2 days .. :D

also calendar-rolled my 24/9 715c -> 15/10 735c for pennies with the intent to roll them forward again @-2.5 and @-3.85. They have lower delta & theta out there, but upside differece is only 0.18δ.
 
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Lycanthrope

S3XY old dude
Supporting Member
Nov 15, 2013
10,070
79,347
At home
For those doing weekly BPS, do you see an optimum time to close out the week and open the next?

Right now, the net premium for -680/+715 for 9/24 is ~$2.5, which is 50c more than I got for this week's, which I opened yesterday

I see going slight more OTM and wider -650/+695 also yielding $2.3, which seems very decent for what's essentially a very low risk trade
 

bkp_duke

Well-Known Member
May 15, 2016
5,594
19,731
San Diego, CA
The put wall holding max pain at 700 is amazing, but the active trading battle between the 740 puts and 750 calls really implies the market makers are going to try to keep us under 750, but it's interesting if they have lost control. I sold a call spread at 775-825 after closing a 780-830 spread when we went down this morning. Still holding 750, 755, 760 cc's. I'd close my bps, but waiting for time to knock out more value. I may roll up 710-660 up to 720-670 or 725-775. Still seems like too much money on the table to not drive the price back down to 745-750. I'm ok going to the wheel into next week, but want to be longer than usual going into P&D.

I doubt they have lost control, they just are not nearly as interested in protecting put walls as they are call walls (known phenomenon).

Volume is VERY light right now. When the MMs step in, there will be no doubt who is boss.
 

bkp_duke

Well-Known Member
May 15, 2016
5,594
19,731
San Diego, CA
For those doing weekly BPS, do you see an optimum time to close out the week and open the next?

Right now, the net premium for -680/+715 for 9/24 is ~$2.5, which is 50c more than I got for this week's, which I opened yesterday

I see going slight more OTM and wider -650/+695 also yielding $2.3, which seems very decent for what's essentially a very low risk trade

I'm holding out for a push down before opening a BPS for next week. The puts have been really "sticky" (better word?) this week, not decaying nearly as quick as the calls. Probably something to do with that gigantic put wall at 700.
 

UltradoomY

Supporting Member
Supporting Member
Mar 13, 2020
351
1,676
Tampa, FL
For those doing weekly BPS, do you see an optimum time to close out the week and open the next?

Right now, the net premium for -680/+715 for 9/24 is ~$2.5, which is 50c more than I got for this week's, which I opened yesterday

I see going slight more OTM and wider -650/+695 also yielding $2.3, which seems very decent for what's essentially a very low risk trade
I favor the 2 weeks out method - and close on Monday or Tuesday of expiration week.
Way more premium but you have to let it burn the theta.
 

InTheShadows

Active Member
Apr 20, 2013
2,325
1,786
USA
For those doing weekly BPS, do you see an optimum time to close out the week and open the next?

Right now, the net premium for -680/+715 for 9/24 is ~$2.5, which is 50c more than I got for this week's, which I opened yesterday

I see going slight more OTM and wider -650/+695 also yielding $2.3, which seems very decent for what's essentially a very low risk trade
Wednesday is usually the last day I open positions for the current week. Tomorrow I will be looking at next weeks options. I already have about half of them sold for next week, however some of those were from rolls on Tuesday I think when we touched 708. I have GTC orders on all of my positions. Some executed this am at open. Some in the middle of the day today. One account I day traded a put spread after the one spread closed at open. That is the same one I opened the call spread in.
 

AquaY

Supporting Member
Supporting Member
May 30, 2021
431
1,397
Long Island NY
I favor the 2 weeks out method - and close on Monday or Tuesday of expiration week.
Way more premium but you have to let it burn the theta.
I like to spread out 1, 2 and 3 weeks mostly.
This way I have different times to repair trades if need be.
After the monthly expiration I also look at the following monthly and if think strongly on direction and the premiums are good I will sell some conservative high probability positions.
 

Discoducky

P100DL, 2021 M3, 4 CT reservations and counting
Supporting Member
Dec 25, 2011
3,795
7,351
My mountain
my 10/1 is less brave, at -c800/+c820 delta 17
Excellent idea -- did same but could get only $7.91 (sto 100121C780).
Why 10/1? Just more theta, DTE and premium? I'm worried about a pop due to low amounts of calls the next few weeks.

I'm planning to sell some weeklies for the next three weeks, but what else is new ;)
 

phantasms

Mr Self Destruct
Supporting Member
Jan 30, 2019
1,767
10,133
Westchester, NY & White Mountains, NH
Why 10/1? Just more theta, DTE and premium? I'm worried about a pop due to low amounts of calls the next few weeks.

I'm planning to sell some weeklies for the next three weeks, but what else is new ;)
I’ve been rolling a contract out waiting forever it to catch a pop. I was eyeing rolling to that date and price but figured why not sell it now and buy it back this Friday when the stock hopefully goes down. For sure I will have bought that back by the end of the week even if it’s at a loss.
 

M3Rider

Supporting Member
Supporting Member
Oct 3, 2018
1,512
7,709
CO
10/1 would be the last week before P/D.
Rolling sold CCs may not be an option after 10/1 if SP jumps.
OTOH, I remember everyone getting excited in the past about these big news weeks buying a bunch of calls for the next several weeks, but MMs keeping SP steady afterwards to bankrupt all those CCs. Really curious if that's an option after Q3. I guess mostly a question of volume. Will it come or not.

This week is strange. Big pushdown on Monday and then releasing the pressure & losing all that was achieved. Didn't see much of MM today. Will they start the new stress test on Friday and push to 700? To 740? Against the macros if needed?
Seems a bit risky to leave all the action for the last day of the week.
 

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