Wiki Selling TSLA Options - Be the House

[vikings123]

This morning I thought my 388 Dec short legs were going to be safe after surviving last night. Now with the Twitter news they are in danger again. Nothing to do but watch and wait. If we have red macro days the rest of the week things could get ugly.

Not investment advice but there is a good chance Elon already sold whatever he needed to sell. Maybe it was a pre arranged sale of shares, not sure if that’s technically possible or not. Based on everything we have seen so far with the Twitter saga Elon has sold first and answered questions later.

I think it is telling that he has not responded to Dave Lee’s question if he plans to sell any more shares. I’m expecting to see form 4s tomorrow confirming this sale. I give it a 50/50 chance.

 

[TheTalkingMule]

I think it is telling that he has not responded to Dave Lee’s question if he plans to sell any more shares. I’m expecting to see form 4s tomorrow confirming this sale. I give it a 50/50 chance.

That sounds about right. He likely sold near the open and hedgies knew it was coming ahead of time. They were easily able to keep it down throughout the otherwise green market day.

Edit: A 4s tomorrow followed by a tweet saying "finding secured" could be very nice.

 

[BornToFly]

I definitely think he sold shares. At the open this morning I sold 4,000 shares at 244.6 to generate cash I will probably need to avoid a margin call, and help pay for debits on BPS rolls. I do have stop loss orders in rebuy those shares at 244 if I can.

 

[juanmedina]

I rolled Nov 360p to January for a credit $1.3 .... I really want to trade shares for LEAPS but I am too scared.

 

[Knightshade]

About 2/3rds of my -297.50 puts got early assigned overnight... first time for me despite pushing my luck more than once... guess I'll see if we get any pop today to start selling some calls (prob for 10/21 as nothing that isn't money losing vs cost is worth jack before then) and maybe roll the remaining puts to 10/21

 

[Yoona]

possible drop to 225, if plotting from the large swing (7/13 low to 8/4 high)
fibs 78% breached this week
(not advice)

 

[BornToFly]

I rolled +205/-230 BPS for Friday to 190/215 for next week at even credit a little while ago (mom's account).

 

[Oil4AsphaultOnly]

I definitely think he sold shares.

Agreed. I wonder if he'll be done today?

 

[MikeC]

-p300 exercised overnight. Sold the shares and opened 10/21 -p300. Also opened more 1/25 300c but getting close to margin limit now.

Edit: Also still holding -p245/210, trying not to roll yet. Also bought 10/21 c260 for an ER play, been getting killed on bought calls but not giving up on an ER bounce yet.

 

[corduroy]

Can't believe that I have to roll my -255Ps but extrinsic is now .35 so in danger of being assigned tonight.

 

[BornToFly]

This is horrible. I'm probably going to have to roll stuff at a big debit this week that would all be fine in two weeks with the ER (I think). It's like swimming across the ocean and drowning 5 feet from shore.

 

[BornToFly]

This is horrible. I'm probably going to have to roll stuff at a big debit this week that would all be fine in two weeks with the ER (I think). It's like swimming across the ocean and drowning 5 feet from shore.

Because Elon held your head under water

 

[OrthoSurg]

This is horrible. I'm probably going to have to roll stuff at a big debit this week that would all be fine in two weeks with the ER (I think). It's like swimming across the ocean and drowning 5 feet from shore.

That’s exactly how I feel with all my assigned Puts lately, stock collapsing, margin contracting again and close to margin call again. This repetitive share dumping from the « First in, last out » investor is the major negative catalyst killing every rally possible.

 

[bballshinobi]

Very true, but I think given TSLA's meteoric rise there are a lot of "investors" who are willing to let the stock go if we hit certain levels for their stop losses.

No, I already closed my puts last week. However, my $250 CC for October 21 are looking really good now. Rolling them to $230 for this Friday.

Closing out my $230 CC.... It's been a good trade.

 

[vikings123]

Not saying this is the bottom but remember folks 695(pre-split) was the S&P entry price. We just touched 700(233.27). I'm going to start scaling in some Jan 25 LEAPS now.

 

[Yoona]

This is horrible. I'm probably going to have to roll stuff at a big debit this week that would all be fine in two weeks with the ER (I think). It's like swimming across the ocean and drowning 5 feet from shore.

i am FOR REALSIES starting to get SICK and TIRED of tsla price action nonsense (EM distraction, daily MMD, 2-4x multiplier, capping for no reason, etc)

if sp doesn't improve by yearend, very high chance i will gradually move half of my acct to trading SPY/SPX instead

need some kind of 'diversification' for balancing

in fact, i am already daily looking at SPY/SPX summaries by bloggers/traders to learn the ropes

methinks betting my retirement income based on one man's physical/mental health is too much risk now that he is even more distracted

(mods, don't kick me)

 

[Oil4AsphaultOnly]

Closing out my $230 CC.... It's been a good trade.

That's one lucky trade. The SP was rising on Tuesday until Elon announced that he was going forward with the twitter deal!

Using your crystal ball, does this mean the coast is clear for a rise towards earnings?

 

[Ad Astra]

Friends, I was also assigned some DEC 16 400p overnight. Tread carefully. I should've acted on these during the last run up over $300 but I was way too confident in how a blowout Q3 would be received. I am working on doing better and coming back stronger and less emotional. Learning when to take losses early seems to be my biggest area of opportunity. @BornToFly Drowning 5 ft from shore perfectly encapsulates how I’ve felt these past few days.

@Yoona I’ve been considering and experimenting with much of the same. I think that’s where I will focus my trading attention in the future. I think I’m going to transfer some funds to my other brokerage account, do a share to LEAP conversion and use the excess cash to refine my trading strategy on SPY/SPX. For anyone considering share to LEAP conversions, any specific options that stand out? I’ve been looking at Jan24 strikes between $150-$180

 

[Bunky]

I am with you guys. I am slightly underwater but at peak demoralization at finding us where we are. Will stay long shares and forever be a TSLA bull but considering similar strategies on other names where leadership isn't a volatility catalyst.

 

[adiggs]

Rolled my 275 puts for this week expiration out to the November monthly - still 275. I also evaluated December and January monthlies and decided that the incremental credit wasn't enough for the extra time. I suspect that these 1-2 month rolls will be my norm until the position comes back to me. The consequence is that my credit collection, as well as earnings, will drop significantly at a time when put sales could be overgenerating credits / gains.

Ah well. I did get a 6.50 credit - about $1/week worth of credit. Less than I would like but also within the range of what I'm looking for that money to earn. And on the plus side the puts won't need weekly management for awhile - something I'm becoming more comfortable with at least on the put side. I might just keep doing puts on more of a monthly than weekly dynamic - finding a way to lower my time and energy while retaining enough income (that I know will be lower) is and has always been a priority for me.

I expect these to be underwater for the rest of the quarter, maybe clearing in December but more likely January.