haha, was
, although the premiums seemed low 15% OTM. Going to use the run-up to close Apr 14th BPS that are high 90's profitable and try to spot a comfortable OTM BCS play...
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Wiki Selling TSLA Options - Be the House
- Thread starter adiggs
- Start date
, although the premiums seemed low 15% OTM. Going to use the run-up to close Apr 14th BPS that are high 90's profitable and try to spot a comfortable OTM BCS play...
closed my put too early. sold my call too early. lol I was expecting it to bottom out ~10:30 not top out. lol
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I fat fingered a 1110/1080bps 2 weeks ago, which I consequently fat finger rolled to this week, and had been red on Friday.
Well, see how high this goes before closing my position to something less risky.
Well, see how high this goes before closing my position to something less risky.
I managed to "fix" half of my 935CCs by rolling them to 3x 5/20 1000/1100 BPSs during the dip this morning. (I didn't have enough margin available to fix all of them.)
I still have underwater calls in IRAs that need help...
I still have underwater calls in IRAs that need help...
AquaY
Member
Tesla also delivered more vehicles last quarter than they produced.
I don't understand how they can deliver more vehicles then they produced 2 quarters in a row.
1 quarter sure. But 2 in a row seems odd to me.
Anyone know how that happens?
jeewee3000
Active Member
This is not the thread for that question. In short: because of inventory drawdown. Currently 3.7 days of inventory left, down from around 5 days IIRC. Next quarter this will probably swing back in the other direction, it has to at some point.
jeewee3000
Active Member
Hi all, stock/options/leverage question.
During the Elon-sells-shares dip I converted some batches of 100 shares to LEAPS at various points I thought were the bottom.
My MO was:
1) sell 100 shares
2) buy X amount of LEAPS (for example 2x 800c or 4x1450c, max expiration date)
3) use the leftover cash for BPS spread widening and the like. Mostly I had 5k-10k left from the transaction.
Nowadays with the rally my LEAPS have gained enough in value as to be worth more than 100 shares. (So even disregarding the leftover cash from step 3).
I'd like to gradually convert those LEAPS back to shares for downside protection (and to be in shares by the split). But given my options journey I've been pondering how to go about this.
In the olden days I just sold the LEAPS and bought shares with a market order.
I could however just sell the LEAPS and then sell an ATM (or even slightly ITM) put. Risk is the SP shooting away and my leverage being less than before.
I was wondering how some of you do this conversion back to shares. I remember @adiggs did leverage or deleverage in a similar manner (shares->leaps->shares) IIRC so I'd like to ask him, but anyone else feel free to chip in.
Thanks in advance.
During the Elon-sells-shares dip I converted some batches of 100 shares to LEAPS at various points I thought were the bottom.
My MO was:
1) sell 100 shares
2) buy X amount of LEAPS (for example 2x 800c or 4x1450c, max expiration date)
3) use the leftover cash for BPS spread widening and the like. Mostly I had 5k-10k left from the transaction.
Nowadays with the rally my LEAPS have gained enough in value as to be worth more than 100 shares. (So even disregarding the leftover cash from step 3).
I'd like to gradually convert those LEAPS back to shares for downside protection (and to be in shares by the split). But given my options journey I've been pondering how to go about this.
In the olden days I just sold the LEAPS and bought shares with a market order.
I could however just sell the LEAPS and then sell an ATM (or even slightly ITM) put. Risk is the SP shooting away and my leverage being less than before.
I was wondering how some of you do this conversion back to shares. I remember @adiggs did leverage or deleverage in a similar manner (shares->leaps->shares) IIRC so I'd like to ask him, but anyone else feel free to chip in.
Thanks in advance.
Well, looks like we really broke that minor resistance at $1116, so here’s to hoping for testing $1200/1250. Be careful out there selling CCs and BCSs. No MMD, so this thing may run. I’m still waiting until Wednesday to sell CCs, though I did buy back some of my bought calls (1110,1115,1120s) for 50+% profit. Probably should just hold, but wanted some profit this week. Also, I forgot about a +c1090 buy order from last week, and it managed to hit at $21.80 around 06:45. Definitely lucky on that one, so maybe I’ll go buy a lottery ticket. Now if only I can hold off selling CCs………
Now if only I can hold off selling CCs………
Have a co worker who is always spouting the latest internet meme to me like it is breaking news that no one knows about. I humor her best I can.
Leaving work on Thursday she sees me and blurts out "Elon Musk is buying Twitter!". I looked at her nodded and mumbled "No, he is not buying Twitter." and I left thinking about my long weekend and nothing else.
Oops... Should have bought a bunch of nickel options just for kicks I guess. I did ask her where she got the info from today and she said "The internet!".
In other news, I would appreciate all time TSLA highs delaying until after May 20. Thank you.
Leaving work on Thursday she sees me and blurts out "Elon Musk is buying Twitter!". I looked at her nodded and mumbled "No, he is not buying Twitter." and I left thinking about my long weekend and nothing else.
Oops... Should have bought a bunch of nickel options just for kicks I guess. I did ask her where she got the info from today and she said "The internet!".
In other news, I would appreciate all time TSLA highs delaying until after May 20. Thank you.
There was actually a fairly standard MMD down to 1073. The run up from there just makes it look insignificant.
I missed out on selling 960/1000 BPS, was targeting $4 and they only hit $3.95. But I do have some 980/1030 sold last week for $10.5 that are now $2.
I sold some 1210CC a little early at $4.5 but timed the remaining 1230CC a little better at $6. I've also opened around 50x 1230/1270 BCS for $3. Will have to wait and see if that was premature.
bkp_duke
Well-Known Member
I opened a narrow 1000/990 4/22 BPS on that dip. It's up nicely right now. Probably close it out later today for 40-50% profit.
Careful. If you are tight on margin now, what happens if the SP drops to 900 before 5/20? Margin call?I managed to "fix" half of my 935CCs by rolling them to 3x 5/20 1000/1100 BPSs during the dip this morning. (I didn't have enough margin available to fix all of them.)
I still have underwater calls in IRAs that need help...
I've left a buffer, which will hopefully be enough. Technically I could have flipped them all, but then I would have been too tight to be comfortable.
corduroy
Active Member
Closed my -940 CSPs that I opened Friday at 88% profit. In and out quick.
I'll wait for another opportunity to open more. I'm resisting the urge to sell calls in front of this steamroller.
I'll wait for another opportunity to open more. I'm resisting the urge to sell calls in front of this steamroller.
Funny you should ask - I'm doing some of that this morning. You don't mention one way or the other - I'm assuming that this is an income oriented decision for you using positions that are open ended / roll-forever (that's what I am working with anyway).
NOT-ADVICE
And your question has me thinking multiple thoughts.
One idea that I've been going with - just sell some shares right now while the price is relatively high. I have an account with a higher fraction of shares than I really want right now as we approach ATH, so just sell shares and use that cash for selling (very conservative) puts.
Another idea that your question has me pondering - would I be better off selling really, really aggressive cc? Big up front credits and the shares are gone by end of week for more than an actual sale will net me right now, with the risk that I still own the shares at the end of the week. I think that I like this risk, especially on shares that are up $200 since I started the wheel with these 6 weeks ago (and that have no particular schedule for when I sell them - just income to collect along the way).
For those shares - STO 1100 strike cc for $48 (just did that). Mentally I just sold those shares for 1133 and am picking up an extra $15, with the risk that the share price drops from here and I get 'stuck' with the shares and the $48 credit. This works, in this instance, because I do want to own shares and figuring out the timing on when to buy back in on the way down can be tricky. If these finish OTM then I probably sell another week worth of really aggressive CC strike. Or the shares have dropped far enough that I continue owning shares and go back to selling my usual cc's.
Really aggressive cc like this solves the problem for me. The cash would enable selling really conservative puts. Those will be making a nice income but I'll want to stay way, way back so there is room for the share price to regress, and the income from these cc will be really good in the meantime (even if only 1 week). Heh - I probably just updated my approach to this one - when I make the decision to sell shares, use hyper-aggressive cc instead.
At low prices and a decision to buy shares, because I want to be highly biased towards moves up, I'll just buy the shares (leaps) rather than relying on aggressive puts change cash back into shares / leaps.
For the shares - leaps - shares transition; I'm still working that out. I think that most likely I won't be doing much of that - rather I'll be buying really far ITM calls at relatively low share prices and turning those into cash at relatively high share prices, with cash and put sales covering the in-between times. By DITM I mean buying 3 of those leaps for the price of 200 shares at max DTE (about the 450 or 500 strike today, but I won't be looking to buy until share price is more like 1000).
I anticipate holding a minimum of 1/3rd account value in shares / leaps at really high prices, and a target of 1/2. Even in ATH land. (And yes that means I'm trading in the possibility of opportunity cost by "only" holding 1/2 account value in Tesla at high share prices).
Anecdote - I was talking with a local Tesla rep (Portland). He indicated that Tesla has sold off and is not replenishing their show room cars. The rationale is that with people waiting 6+ months for their car, how does the company justify building cars that are used to sell more cars, when they could be getting somebody the car they ordered a long time back.
Answer - they don't. So sell off the show room cars and there isn't anything to sit in or test drive now. Unless you know somebody
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