Wiki Selling TSLA Options - Be the House

[wooter]

Yeah I got rid of my 1110c's yesterday because I got spooked, but it's a nothing burger (but still made some).

Now the SP is nearing my jan07 1045p's. I'm not too worried, I still have a week to go.

 

[DaBoosterCali]

I am holding just a single 1050p 12/31
I will gladly take the assignment

 

[MikeC]

I have mostly p950/-p850s and 1250 CCs for next week. Would love to have to roll the CCs on a breakout.

 

[WattsHappening]

Sold three BPS Jan 7 p1000/-p950 for a credit of $7.50 each. I'm betting the China sales numbers and P&D numbers coming out on Sunday are going to create a worst-case scenario of breakeven SP. I blame lack of volume for weakness yesterday and today. I think it's going to be difficult to hold down the SP next week as volume picks up.

EDIT: PSA, I typically have horrible timing (which is one reason I mainly stick to buying and HODLing), so this may be a good contrarian indicator for smart traders to go short.

 

[pz1975]

I usually stay very OTM with my BPS but I think the P&D will be a large beat so I sold some 1,100/900 BPS expiring next week. Also added some 1,000/800s as well.

 

[juanmedina]

I usually stay very OTM with my BPS but I think the P&D will be a large beat so I sold some 1,100/900 BPS expiring next week. Also added some 1,000/800s as well.

are you adding any calls?

 

[ReddyLeaf]

Just bought a single 1/07 c1145 at $11.20 to sell back on Monday. I’ll add another if we drop more. I’m usually wrong on timing these, so not advice, but…. There’s “always” a general stock market bump on the first trading day of the year as people dump in new IRA money. I’ve watched it for decades and it always pissed me off because I knew the market was stealing a small arbitrage % off of everyone saving for retirement.

 

[pz1975]

are you adding any calls?

I sold some $1,300s for next week - I figure if we hit ATH and I have to roll them out I will be pretty happy overall. It’s just pocket change though.

 

[juanmedina]

I sold some $1,300s for next week - I figure if we hit ATH and I have to roll them out I will be pretty happy overall. It’s just pocket change though.

I meant to say, did you buy any calls?

 

[kcveins]

BTC my 1050 12/31P and STO 1000 EXP 02/04/22 P

 

[corduroy]

It's been a quiet week for me. Lots of orders going unfilled, waiting for big moves that never really came. I don't have any really strong convictions either way to make me jump in with more authority.

I did just open some 1/14 BPS -880/780 @ $3.20. I usually don't go 14 DTE but, these seemed like a decent risk/reward. I'll be looking to close next week if we move up. Happy to be tucked in behind that big 900 wall.

 

[M3Rider]

I sold some $1,300s for next week - I figure if we hit ATH and I have to roll them out I will be pretty happy overall. It’s just pocket change though.

I’m thinking if Mon there’s a spike it will be a better time to sell CCs.

Last Friday I sold 12/31 1200 CCs for 5.10.
They were double that this Monday morning when SP went to 1110+.

Might be the same setup next Mon.

 

[kcveins]

I’m thinking if Mon there’s a spike it will be a better time to sell CCs.

Last Friday I sold 12/31 1200 CCs for 5.10.
They were double that this Monday morning when SP went to 1110+.

Might be the same setup next Mon.

Agreed...
Decided to buy some 1100 01/07 C just for that reason

 

[st_lopes]

Clipped 34x 1130cc/lcc and 100x 1150/1200 BCS at 80-90% (kept moving the BTC price around).

Clipped 50x 900/850 1/7 BPS at 60% gain.

Opened 150x 940/890 BPS.

Now that 300k production is whispering to be possible, I will wait for Monday to enter cc and BCS legs. A 70k domestic China December number would be fantastic.

 

[pz1975]

I meant to say, did you buy any calls?

No. I find buying short-term calls is usually a loser. The stock doesn’t only have to move up, but way up (or smaller gap up Monday morning) for them to be profitable. I see it as a 1/5 chance of profit between: way down, down, flat, up and way up as the 5 possibilities for SP movement.

The only time I really bought short-term calls and did well was the big squeeze in early 2020. That was pretty clear what was happening though at the time.

 

[Drezil]

Smart move, methinks... I'm also dialling-down the leverage and exposure, it's great when it goes well, but when it goes bad, the stress is way too much

I'm at the stage where capital preservation is takes precedence over growth

Would still like 1% per week if possible, and like the rest of us, always thinking of how to achieve this with the least risk and stress - I guess if it were that easy, everyone would be doing it!

My 20x Jan 24 c900 LEAPS, which have around $900k capital sunk into them bother me. I really worry for the macro environment (Elon's Tweeting that he thinks there will be a recession next year not helping much), and some kind of persistent pull-back, killing the value of those contracts... I'm thinking to sell aggressive calls against them, like March 1200's, so claw back a decent chunk of the premium, while still making a profit if the short side goes ITM... meh!

Of course a good P&D beat and a 10% rise on Monday would soothe the nerves, but the manipulators have been in total control, so I don't know what from here

depending on tax-implications you could also roll them to 1000 or even 1100 to take a lot of steam out when we spike to 1200
That should free up a lot of cash to sell BPS. If we do indeed dip, then you can roll them back down again (take losses against the roll-up, but less).

Downside: higher theta-decay over time that needs to be set off with CC or so.

 

[Drezil]

BTO 20x 1200c for next week for a quick lotto-play if P&D exceed.
Cost 10k, STC 10x for 10$ is already to automatically make it "free" ASAP if we pop on monday. The rest we will see

also opened 15x 980/925 BPS for next week @5.35 for "secure" income-generation.

 

[WattsHappening]

This is a dangerous thread.

Reading these posts with dozens/100s of positions being opened and big YOLO lotto plays, I can't decide whether I need to get more aggressive or go hide like a scared turtle. Most likely the latter.

 

[ChefBoyardee]

This week seemed like a bit of sell-the-news of Elon finishing selling and a little profit-taking. I've been selling a few Jan 7 1000/950's each day this week. It's always possible that we have another leg down but with P&D numbers coming out and the recall news cycle ending soon, above 1000 seems likely.

Hoping for a close above 1062 today since that's acted as a pretty good support level recently ---- Edit: Not looking likely

 

[Chenkers]

This week I was hoping to finally close most of the DITM BPS I've been buried under since Elon started selling. Not to be with the low volume and downwards trend however. I rolled my 200 x 1025/1065 BPS to next week for $12.17 credit each and I expect these will close out then. I also still have 50 x 1050/1130 for next week but should be able to split roll those next week. I did manage to close out my 50x 1000/1045 and 179 x 1000/1060 although for a bit more than I'd have liked.

This freed up some margin so I could STO 170 x 900/980 BPS @ 12.50 for the 1/14 expiry and will close these earlier if I can.