For those of you posting your trades, I’m more interested in the closing date than the number of contracts you’re trading, please
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Wiki Selling TSLA Options - Be the House
- Thread starter adiggs
- Start date
jeewee3000
Active Member
When not specified on a Friday, I always assume today.
There is always second chances
. I decided to sell calls for next week ranging from 760-780cc. It feels aggressive.I realized I didn't include that info after I posted, but don't know how to edit posts yet (if that's possible on this forum).
These are expiring today.
I only learn though pain, lol. If the SP ends the day around 720, I'll be up $500 on this contract. I am betting the 730 call wall will hold, but I doubt we're getting anywhere near max pain today.
TheTalkingMule
Distributed Energy Enthusiast
Same here with Fidelity. Is there a way around this or a special permission you can get to expiration-day trade? AFAIK my permissions are as high as I can go.
jeewee3000
Active Member
If the SP could only drop like $3 more I could close out my -710c's profitably. Come on MM's!
alterac000
Member
I ended up rolling my 710cc to next week 725cc for $3 credit. These were 6% of my total CC basket (by volume) so was comfortable rolling!
jeewee3000
Active Member
I'm not giving up yet.
EDIT: this sounds like a jab at you, but it's not intended that way at all.
More likely they're famous last words
Deployed an IC for next week.... Hope I'm good.
-$685p/+675p
-$750c/+$760c
-$685p/+675p
-$750c/+$760c
ChefBoyardee
Member
Looks safe - I wish I could do IC's... I'm super bullish so the call side stresses me out too much
I'm going to guess that this is limited because it's a retirement account.
My brokerage account let's you do pretty much whatever you want with it.
well.. my plays for next week:
750/665 BPS - 0.7 delta for positive theta...
720/665 BPS - should expire worthless, good baseline-income
705/665 BPS - safe bet in case of rainy days
675/755 BCS - 0.7 delta for positive theta without much margin-requirements. Bought for $47, if we close over 755 it is worth $80. Will close before AI-Day.
And then an assorted amount of calls i still have lying around:
730c, 720c, 710c. Either i turn them into call-spreads (like the one above) by selling a 755 call - or sell them on thursday before the big IV-crush sets in.
750/665 BPS - 0.7 delta for positive theta...
720/665 BPS - should expire worthless, good baseline-income
705/665 BPS - safe bet in case of rainy days
675/755 BCS - 0.7 delta for positive theta without much margin-requirements. Bought for $47, if we close over 755 it is worth $80. Will close before AI-Day.
And then an assorted amount of calls i still have lying around:
730c, 720c, 710c. Either i turn them into call-spreads (like the one above) by selling a 755 call - or sell them on thursday before the big IV-crush sets in.
I am amused at 705/665 being a safe bet. Not judging the play, but I think that is an exceedingly optimistic description.well.. my plays for next week:
750/665 BPS - 0.7 delta for positive theta...
720/665 BPS - should expire worthless, good baseline-income
705/665 BPS - safe bet in case of rainy days
675/755 BCS - 0.7 delta for positive theta without much margin-requirements. Bought for $47, if we close over 755 it is worth $80. Will close before AI-Day.
And then an assorted amount of calls i still have lying around:
730c, 720c, 710c. Either i turn them into call-spreads (like the one above) by selling a 755 call - or sell them on thursday before the big IV-crush sets in.
Personally I wonder how much IV crush we'll see. While it will provide material information, I do not believe there has been much hype. I will likely close positions on thursday however just in case.
AquaY
Member
Yes. I was married once too.
I have 6 positions closing today ( all seem well to expire worthless which is truly what I call "In the money " to me.
)Next week I have only OTM puts that are mostly very Deep OTM.
Highest strike is 685 and that's only 5 contracts at this point.
Pretty confident I'll be good next week.
We will see what the week brings but am unsure of it so avoiding selling calls for now.
Yes it is, and no I'm not. The wash sales seems to have been resolved for options to mean identical kind / strike / expiration. It also seems to be the case that the only trades I've been flagged on for wash sales were same day, but I think this is more likely a function of slightly different strikes. I.e. selling a 640 call yesterday, buying it back today, and selling a 650 call today, doesn't trigger wash sales because the 650 and 640 are different.
I did manage, by accident, to get the pattern day trader flag set on my account. I'd rather it wasn't there, but so far it doesn't seem to affect anything.
I WILL get whacked at tax time. I'm looking for options / choices to minimize the whack (such as a charitable remainder trust, but this conversation is for another thread), but its also a first world problem. The only way to pay a 50% marginal tax rate is to earn enough to get into that bracket, and that takes a lot of earning (somewhere around $600k). First world problems are the very best.
The other thing about wash sales - a trade flagged for a wash sale just moves its loss into the replacement position. At mid year like now I suppose I could use that to influence quarterly estimated tax payments, but I'm already doing those based on the safe harbor rule, so it doesn't matter this year. It'll all have come out in the wash by end of the tax year and make no difference (as I understand the wash sale rules).
Actually - the money that I'm living on for most of the next decade is happening in a taxable account. I just think of the profits as similar to the paycheck I was receiving previously. I was taxed on that, and it was getting to be a non-trivial amount. I'll get taxed on these earnings.
I'm also doing these trades in retirement accounts. Usually by exactly copying the positions - my intent here, even though I'll probably leave some gains on the table relative to buy and hold, is a larger pool within which to learn from, and be that much more confident in the approach over a 20-50 year (a guy can dream, and exercise
So I just got some fantastic news on this front - I'm going to be able to recognize several hundred thousand in losses due to this accounting treatment (just confirmed with my broker). My old broker did disallow some losses as wash sales even for different option strikes / dates. This is huge for me! I can't share my excitement with anyone I know in real life, so have to gush here.
OK, the c722.50's finally down below $1 - kudos to anyone that sold those earlier at $9.40!
Seriously, who are the suckers buying these calls and puts?? Every week, the money they're losing
I'm of the opinion that a lot of options activity in TSLA is just from MMs. Obviously not all, probably not even a majority...but when I'm executing trades for tens of LEAP contracts at a time, including ones that are DITM (I'm short some very low strikes from a trade gone bad literally almost two years ago) I tend to think that's not an individual trader. Wouldn't surprise me if the same were true for a decent chunk of 0-day contract trades too.
But then again, I'm sure there are tons of gamblers also.
Waiting till 3 - 3:30 to open next weeks position and see if we get a pushdown -
Looking at a tighter BPS this week $50 spread instead of $100 / Targeting the $695/$645's for $8 each - these would be the 08/27's
Looking at a tighter BPS this week $50 spread instead of $100 / Targeting the $695/$645's for $8 each - these would be the 08/27's
How the wheel turn out for me So far? In my Roth account at end of 3/31/2021 I had 478 TSLA shares. Yesterday I got to the next “00” to sell another CC.
I like to thank everyone here for all the help, strategies and wisdom!
I like to thank everyone here for all the help, strategies and wisdom!
Since 4/1 I have been able to add 35% to my delta in TSLA in my trading account from selling naked calls and puts. This is roughly 4x my salary. Hopefully I can compound this to 8x next year. My Roth IRA which has the majority of my TSLA hasnt done nearly as well, mostly flat for the year. 
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