Wiki Selling TSLA Options - Be the House

[ammulder]

anyone has a 10/29 -c guess? my -p will hide below the 805 maxpain.

Depends on your risk tolerance and willingness to part with shares, I assume. I have sold c970 and c990. I would be pretty surprised if we gain another $70+ this week. But it's definitely not out of the question; I'm willing to buy those back in a hurry out of the "everything else" profits if it comes to it. I mainly got them in case there's a sanity-check and we dump $50 instead; I didn't want to be 100% on team-"it'll keep rising" even if the relative premiums mean I'm 90% there.

 

[Tslynk67]

anyone has a 10/29 -c guess? my -p will hide below the 805 maxpain.

View attachment 725040

last friday's volume:
View attachment 725043

Don't ask me, I'm still holding 40x c865's

I'm happy to finance my way out of those selling ATM(ish) puts to hedge until the SP settles - I can't see it running up massively from here, we already had a credible rally all the way from mid-August

 

[ReddyLeaf]

Well, I managed to clear TSLA out of one account on Friday. I guessed that the 900 call wall would hold and sold -c905s @$2.20 in the AM. Pretty dumb I know. I also sold -p895s shitputs for $5.00 (crazy premium for Friday AM). Anyway, I’ll be selling -p900s to -p910s this week. Hoping for an early AM pull back. Still short some -c800s in another account and still trying to roll out. This is what happens when a person continues trying to sell calls during a massive rally. I’m definitely being left behind but not too worried as the IRAs have enough to fund my modest needs. Definitely don’t want an island, mountain, boat or plane. Maybe I’ll pick up shares on puts, or maybe not. The put premiums are still pretty high, and 1%/week is much greater return than I was getting on my mutual funds. Finally, opened a taxable brokerage account and hoping to start selling BPS and/or ICs soon (still stuck on level 1 options (WTF) though funding should clear Monday). This is a pretty small account, so they may not allow margin or level 3 options for awhile. May send some PM questions for assistance.

 

[bkp_duke]

Well, I managed to clear TSLA out of one account on Friday. I guessed that the 900 call wall would hold and sold -c905s @$2.20 in the AM. Pretty dumb I know. I also sold -p895s shitputs for $5.00 (crazy premium for Friday AM). Anyway, I’ll be selling -p900s to -p910s this week. Hoping for an early AM pull back. Still short some -c800s in another account and still trying to roll out. This is what happens when a person continues trying to sell calls during a massive rally. I’m definitely being left behind but not too worried as the IRAs have enough to fund my modest needs. Definitely don’t want an island, mountain, boat or plane. Maybe I’ll pick up shares on puts, or maybe not. The put premiums are still pretty high, and 1%/week is much greater return than I was getting on my mutual funds. Finally, opened a taxable brokerage account and hoping to start selling BPS and/or ICs soon (still stuck on level 1 options (WTF) though funding should clear Monday). This is a pretty small account, so they may not allow margin or level 3 options for awhile. May send some PM questions for assistance.

"not advice" but I got burned by this once as well. I then went back and evaluated max pain vs. actual closes on Fridays. It's usually about $10-12 higher than max pain. There are, of course, exceptions (ahem, this Friday destroyed that hypothesis), but that data has guided me to not sell calls close to max pain anymore, even if there appears to be a decent call wall.

 

[AquaY]

Hopefully doing this with TSLA will get easier as I continue to learn more. Being less greedy would help too with safer spreads - Gotta keep reminding myself that!

For me too!

 

[EV forever]

Depends on your risk tolerance and willingness to part with shares, I assume. I have sold c970 and c990. I would be pretty surprised if we gain another $70+ this week. But it's definitely not out of the question; I'm willing to buy those back in a hurry out of the "everything else" profits if it comes to it. I mainly got them in case there's a sanity-check and we dump $50 instead; I didn't want to be 100% on team-"it'll keep rising" even if the relative premiums mean I'm 90% there.

I agree with this as well. My thoughts are that we will be seeing some consolidation in this range now before another run up. Plus there is no major catalyst for the next few weeks so although the overall direction will be positive it won’t be the type of appreciation we have seen since August. It may be time to start with the BCS portion of the ICs but the premiums are so bad for anything 10% above the SP. I might try some -c1000/+c1100 to match with my open +p695/-p795 for tiny gains.

I have been thinking about trying a few strange positions aka @Lycanthrope style for “educational purposes”. What would be the target SP for those for 10/29? I was thinking 900 with closing orders placed for both the call and put sides at 50% profit

 

[adiggs]

Do you think you could take what we have learned here and use it with another mega cap company like aapl or msft, or spy or the q’s?

I think that I could, but it wouldn't be a trivial shift. As mentioned by others, a big chunk of what makes this work for me is my deep and always developing understanding of Tesla the company, and TSLA the stock. Thus to make the shift I will also need to start following the company and its stock closely. I'd guess there is at least 3 months of educational ramp. The really hard part is that I'd want to do that badly enough that following that company would also be fun for me.

I DO think that it would need to be a company with a very active options chain. We need high volume for fast and reasonably high quality fills, and many company's stock doesn't have that volume.

 

[corduroy]

I think that I could, but it wouldn't be a trivial shift. As mentioned by others, a big chunk of what makes this work for me is my deep and always developing understanding of Tesla the company, and TSLA the stock. Thus to make the shift I will also need to start following the company and its stock closely. I'd guess there is at least 3 months of educational ramp. The really hard part is that I'd want to do that badly enough that following that company would also be fun for me.

I DO think that it would need to be a company with a very active options chain. We need high volume for fast and reasonably high quality fills, and many company's stock doesn't have that volume.

Another possibility would be to sell options on an index like SPY. It's super active, trading about 5x the volume of TSLA options a day, and even has expiring options on Mon, Wed, and Fridays.

But then instead of following a single company, one would probably need to spend a large amount of time following macros. And the IV is low.

 

[EV forever]

So, major issues with FSD 10.3 version, TSLA just pulled it off completely. My hubby was so happy to get FSD downloaded on to his car at 3 am this morning - but they pulled it before he could go for a single drive. Now everyone is back to Autopilot + Navigate on Autopilot.

Wondering how media will spin this if not fixed by tomorrow morning - plus how much impact on FUD now on the SP? Interesting times.

 

[ABC2D]

Hi all,
while this is not exactly "Be the House", still options related and I hope for knowledgeable minds provide feedback and help.

Can someone please take a look at this LEAPS vs Stock sheet and let me know if my analysis makes sense? I'm trying to figure out how to pick decent valued LEAPS.

Thank you

 

[stealthyc]

10.3 is definitely very busted, weirdly I got a notification that a software update was available since (not unexpected given how bad it was) but then I went into the app and no update is available. This is definitely a major screwup given current NHTSA scrutiny, but they are dealing with it quickly and I doubt it will add up to much as far as stock price goes. I think only if there was a related accident would it be a big problem

 

[Tslynk67]

So, major issues with FSD 10.3 version, TSLA just pulled it off completely. My hubby was so happy to get FSD downloaded on to his car at 3 am this morning - but they pulled it before he could go for a single drive. Now everyone is back to Autopilot + Navigate on Autopilot.

Wondering how media will spin this if not fixed by tomorrow morning - plus how much impact on FUD now on the SP? Interesting times.

I don't think there's many people outside this forum, Twitter, $TSLAQ and Missy Pissy that care...

 

[ReddyLeaf]

Hi all,
while this is not exactly "Be the House", still options related and I hope for knowledgeable minds provide feedback and help.

Can someone please take a look at this LEAPS vs Stock sheet and let me know if my analysis makes sense? I'm trying to figure out how to pick decent valued LEAPS.

Thank you

Thanks for posting this. I’m in a similar situation and considering LEAPS as well. However, I think that you should consider far ITM options, like 400-600 strikes. This provides protection similar to the stock, but allows some leverage.. I think this is what @Lycanthrope has done. Edit: Buying ATM options (eg near 900-910) means paying the highest premiums. Far OTM or ITM options are priced with very little time premium.

 

[Drezil]

anyone has a 10/29 -c guess? my -p will hide below the 805 maxpain.

View attachment 725040

last friday's volume:
View attachment 725043

I have a few -1000c @2$ from Friday. And my few 900/750 BPS that I ride and maybe roll.
Will look tomorrow for better openings. The 750p still had 0.7 Theta & Ii did not want to close the gap more.

Depends on the runup but maybe I will add some more -1000c or -1050c. Or some 800/700 BPS. Depending on if we get a breakout or morning dip tomorrow.
Will then take profits aggressively as I "feel" a turnaround Tuesday if Monday spikes up.

One thing I noted: Open interest is pretty low. Nov or dec monthlies had a ton of 800/900 calls, though. Maybe MM will already try to protect those?

 

[EVCollies]

I have nothing for 10/29, will wait for MMD response to FSD 10.3 rollback. Plan for BPS with STO leg at delta .09 and 50 strike spread and STO CCP at delta .2.

Would love to see a temporary SP drop to allow transferring more of my IRA->Roth IRA. I'm just not willing to sell TSLA to pay the tax man.

 

[BornToFly]

Less than 12 hours people!!!

 

[EVCollies]

So, major issues with FSD 10.3 version, TSLA just pulled it off completely. My hubby was so happy to get FSD downloaded on to his car at 3 am this morning - but they pulled it before he could go for a single drive. Now everyone is back to Autopilot + Navigate on Autopilot.

Wondering how media will spin this if not fixed by tomorrow morning - plus how much impact on FUD now on the SP? Interesting times.

WaPo picked it up.

https://www.washingtonpost.com/technology/2021/10/24/tesla-full-self-driving-musk/

 

[MikeC]

Saw in the other thread Jonas and Morgan Stanley increased their PT from $900 to $1200. I’m not expecting to go down tomorrow so considering rolling up my short legs from -p800 to -p830.

 

[AquaY]

WaPo picked it up.

https://www.washingtonpost.com/technology/2021/10/24/tesla-full-self-driving-musk/

No way! I’m so surprised the Washington Post, owned by Jeff Bezos , the largest investor in Lucid printed a story on that

 

[bonk3125]

WaPo picked it up.

https://www.washingtonpost.com/technology/2021/10/24/tesla-full-self-driving-musk/

Is it just me or is anyone else hoping for a little pullback from this to sell some BPS?