Wiki Selling TSLA Options - Be the House

[Drezil]

Yes but remember that pulling forward is easier/cheaper when SP is higher. Might be good to enjoy the post Q1 earnings rally first before making this move.

yes.

But i would still do the exact opposite.
If you pull forward when SP is high, then you take more downside risk (while freeing up capital) and have less time to handle.

I currently have a 1000/1100 BPS for may i play around with.

Things i did in the last weeks to it:
- push it out to june
- sp sank
- pull it back in to may
- sp rose
- closed short leg on high today (~1070)
- opened short leg again (~1040)
- will try to move out to june again for ~15$ credit if we explode to 1150
- will move back in to may if we then got under 1050 before expiration - otherwise let it expire.

all in all the cost-basis on that position is now -13$. The power of moving + waiting

you want to have it "in a bade shape" before a runup and "move out" after a runup (due to less delta-risk & acquiring more theta)

Edit:

I also have may 1050c that i sell against. @1080 i thought about closing them. But then i sold a -1050c instead against them. Now @1036 i look like a genius Those -c are down 70% already & theta is burning another 50% off until tomorrow.
With JPow speaking in 50 minutes i think that they will defend 1050 for tomorrow & i would like to close those CC @ 90% profits.
That position alone cought ~50% of the downturn in my portfolio since open.

 

[saniflash]

BTC 1,210 Apr 22 Calls at $0.25 (80% profit threshold reached) early in the session. not risking being called in a potential meltup

 

[intelligator]

For those that get in these situations or are now, remain calm. I've had several panic rolls that got me into trouble, some that are months out that I have confidence in reeling in net positive or minimal loss. The downside is margin is tied up some. Here's an example of a BPS I'd written 4/5, intended for the same week 4/8 that I had to work all the way through today - I wasn't going to give in Keep in mind the fees are not included, so the net is probably under. Nonetheless, I was able to keep most all of that initial credit of 2750, without fees, finishing at 2785. I closed out this morning when the price was at 1084, just about the turn from spike to slide. Keeping track of each trade helps tremendously.

 

[juanmedina]

Wow just wow. Well all my calls seem safe for tomorrow. I am not even going to bother closing them today they still have $10 bucks in them.

 

[elasalle]

Rolled them Dec 2200 CC's down to Dec 2000 CC's for like another ~6 bucks and got me another ~ 45 shares.

(Escape hatch is the Jan 25 options which will become available by Sept )

 

[ZsoZso]

Yesterday I bought some 1045C exp-Apr22 lottery tickets, that I managed to sell for good profit this morning (>300%).
But now, after all this drop from the morning high, I could not help myself and spent all my "winnings" on new 1045C tickets exp.May.13
I hope I can sell these with similar profits...

 

[john tanglewoo]

I'm looking for my next entry to selling puts.
Typically I target around 30 days out and 20% out of the money, but the premium just isn't as juicy as it has been the last couple times I did it. Premiums are sitting around ~10.00 whereas when I did it before, they were closer to 15.00.

Are there any tools I could use that would show me when volatility is spiking enough to pump up these premiums to a level that makes it worth it for me? I don't like going closer to the money because the risk increases exponentially. This is the game I've chosen to play, just wondering if there is a good way to see when volatility is increasing the premiums.

Thanks!

 

[Drezil]

I'm looking for my next entry to selling puts.
Typically I target around 30 days out and 20% out of the money, but the premium just isn't as juicy as it has been the last couple times I did it. Premiums are sitting around ~10.00 whereas when I did it before, they were closer to 15.00.

Are there any tools I could use that would show me when volatility is spiking enough to pump up these premiums to a level that makes it worth it for me? I don't like going closer to the money because the risk increases exponentially. This is the game I've chosen to play, just wondering if there is a good way to see when volatility is increasing the premiums.

Thanks!

That nearly killed my account in january.
STO 1000/900 BPS when SP was 1200 for end of january. They expired soon after putin started the war & were at max-loss even after spectecular earnings i thought would turn that around.
Still rebuilding.

 

[stealthyc]

That nearly killed my account in january.
STO 1000/900 BPS when SP was 1200 for end of january. They expired soon after putin started the war & were at max-loss even after spectecular earnings i thought would turn that around.
Still rebuilding.

Well he said puts not spreads, so it would be a little more resilient to that.

 

[mrmtb]

I'm looking for my next entry to selling puts.
Typically I target around 30 days out and 20% out of the money, but the premium just isn't as juicy as it has been the last couple times I did it. Premiums are sitting around ~10.00 whereas when I did it before, they were closer to 15.00.

Are there any tools I could use that would show me when volatility is spiking enough to pump up these premiums to a level that makes it worth it for me? I don't like going closer to the money because the risk increases exponentially. This is the game I've chosen to play, just wondering if there is a good way to see when volatility is increasing the premiums.

Thanks!

Are you looking at the same price, or delta? I honestly just follow VIX daily because I sell puts and calls (single options and spreads) on a lot of stocks. Your brokerage should have an IV column for the stock/options for you to add and refer to.

I know this is off topic but I like selling put spreads and TSLA hasn't been a great market for those. Other stocks with higher IV allow me to capture a decent amount without so much risk.. for example risk $5 to get $1 (20%). Sell a 95/90 to get $1 while staying a comfortable % out of the money/lower delta

 

[Yoona]

I know this is off topic but I like selling put spreads and TSLA hasn't been a great market for those. Other stocks with higher IV allow me to capture a decent amount without so much risk.. for example risk $5 to get $1 (20%). Sell a 95/90 to get $1 while staying a comfortable % out of the money

what are other stocks, for example? thanks in advance!

 

[mrmtb]

what are other stocks, for example? thanks in advance!

RIVN and AMD most recently. Before that it was been when Vol spikes QQQ, SPY, IWM about 30-45 days out.

I should have looked at my account first because a lot I have currently are call spreads now that I look at it. I don't document the trades and already closed the majority of the put spreads after this latest run up. Puts made the most when Vol was a lot higher earlier this year.

I've been selling SPY and QQQ call spreads on a good run up. Sometimes even $1 wide. Got ~40%/$.40 for my latest SPY 451/452 call spreads. Plan to manage something like that much sooner than a wider spread. So I'd have to do the math and test to see if that strategy is any better than selling them $5-$10 wide.

edit: TSLA actually looks pretty good right now but I'm not sure if that's because there was extra vol pumped in from earnings. selling anything a month or more out in Tesla freaks me out nowadays because of how much it moves on a % basis

 

[jaspa]

Spotgamma's take on TSLA action today -

 

[juanmedina]

RIVN and AMD most recently. Before that it was been when Vol spikes QQQ, SPY, IWM about 30-45 days out.

I should have looked at my account first because a lot I have currently are call spreads now that I look at it. I don't document the trades and already closed the majority of the put spreads after this latest run up. Puts made the most when Vol was a lot higher earlier this year.

I've been selling SPY and QQQ call spreads on a good run up. Sometimes even $1 wide. Got ~40%/$.40 for my latest SPY 451/452 call spreads. Plan to manage something like that much sooner than a wider spread. So I'd have to do the math and test to see if that strategy is any better than selling them $5-$10 wide.

edit: TSLA actually looks pretty good right now but I'm not sure if that's because there was extra vol pumped in from earnings. selling anything a month or more out in Tesla freaks me out nowadays because of how much it moves on a % basis

I have 20 RIVN BPS that they are so ITM that is not even funny... I am still hopping that it turns around by Jun. Everytime I decide to trade something other than Tesla I get screwed.

 

[scubastevo80]

what are other stocks, for example? thanks in advance!

Twitter on the initial Elon news because IV jumped over 140 and I felt the premiums justified a +\- 20% condor. I’ve looked at some other tech holdings and can’t see anything that pays enough premium at 15-20% OTM and 5-8 DTE.

 

[mrmtb]

I have 20 RIVN BPS that they are so ITM that is not even funny... I am still hopping that it turns around by Jun. Everytime I decide to trade something other than Tesla I get screwed.

I just put them on today. May 30/25. Sorry about that, not a pretty chart.

edit: I want to buy one day but I'm going to let the market figure things out.

 

[mrmtb]

@john tanglewoo I just made an account here and they have some good IV info. Not sure if you can set alerts for IV moves.

Glad you asked the question because it made me realize a lot of what I do is mostly off gut feeling.. I need to look into the data more often.

TSLA Implied Volatility Chart Tesla

View volatility charts for Tesla (TSLA) including implied volatility and realized volatility. Overlay and compare different stocks and volatility metrics using the interactive features.

marketchameleon.com

 

[Yoona]

TSLA - Tesla Stock Trader's Cheat Sheet - Barchart.com

Support Resistance, Pivot Points for Tesla Inc with Key Turning Points and Technical Indicators.

www.barchart.com

1023 is the moving average resistance during the last 3-10 days

 

[EV forever]

Closed the put spreads +p770/-p970 expiring 22Apr in taxable account for 80% profit at market open yesterday. But as the market dropped decided not to risk waiting further and rolled out the +p975/-p1075 in IRA expiring 20May out to September for tiny credit. With the markets the way they are going, doesn’t look like TSLA is getting any rewards for blowout ER. September is safer with possible split after June. Ties up cash till then, but better than getting in a hole again.

Did not open any new positions.

 

[EVCollies]

I had set aside a bit more dry powder than needed for taxes so...

4/29 BPS 900/700 @5.16

This is my first weekly trade in 3 months as I've been rolling forward and mostly downward my BPS purchased during the dramatic drop in SP after Elon Stock sale. This are all OTM and hope to shorten DTE each trade and get back to weeklies.