Wiki Selling TSLA Options - Be the House

[ReddyLeaf]

Closed all 12/30 -c160s and -c170s in small account on the 2nd MMD. Waiting on the bounce to sell. Waiting…… waiting……. waiting…... Godot where are you? Rolled down a couple 12/30 -c170s to -c160s in the ROTH to have everything at the 160 strangle and bought another 20 shares.

Thinking about this some more, I can hardly believe that I’m selling CCs at 160, when I used to be scared selling them below 300. Apparently, Elon’s dump, and my selling fully cash/share-secured strangles has facilitated my complete conversion from investor to options trader. I think this must be the bottom (maybe not the SP, but certainly my belief in TSLA). At this point I don’t really care what happens to TSLA. Furthermore, with Elon still holding 100s of millions of shares, his future erratic sales will further depress the stock, at unknown points, and in drastic fashion. Thanks Elon. Let that sink in.

 

[BornToFly]

Wow. $1 away from triggering massive 150 stop losses.

They let it get within 0.04 of the trigger. Might still happen later....

 

[bingoz]

Premarket gave me false hope. There is a big put wall at 150, I don't really think we'll close below 150 today, and hope for a soft recover at the end of the day.

My -153.33p this week is under water, I might have to roll them to -145p next week at no cost.

 

[EVNow]

I'll have to roll the 165 puts to next week - same strike.

Last week I rolled the 175 to 165 too early. Need not have rolled. This week I waited and its too late to roll down

 

[strago13]

Pondering selling 20% of my portfolio at a loss (which will offset my gains -- tax harvesting @UltradoomY). Then using the leftover cash to buy JAN2025 220 leaps. I would use half the cash and keep the rest in the account to buffer against margin. However, when I play with the margin calculator, I am not seeing the impact I thought I would. Do LEAPs not help pad margin the same way stock does?

 

[BornToFly]

Pondering selling 20% of my portfolio at a loss (which will offset my gains -- tax harvesting @UltradoomY). Then using the leftover cash to buy JAN2025 220 leaps. I would use half the cash and keep the rest in the account to buffer against margin. However, when I play with the margin calculator, I am not seeing the impact I thought I would. Do LEAPs not help pad margin the same way stock does?

nope

 

[Yoona]

Double Bottom detected

 

[Yoona]

https://twitter.com/x/status/1603762880666648577

https://twitter.com/x/status/1603787067439325184

 

[mrmage]

Pondering selling 20% of my portfolio at a loss (which will offset my gains -- tax harvesting @UltradoomY). Then using the leftover cash to buy JAN2025 220 leaps. I would use half the cash and keep the rest in the account to buffer against margin. However, when I play with the margin calculator, I am not seeing the impact I thought I would. Do LEAPs not help pad margin the same way stock does?

Options count towards portfolio margin, but not standard margin. Portfolio margin tests the portfolio against +/- % swings in SP to determine how much can be borrowed. It takes into account options and shares. Using portfolio margin has a minimum account size of $125k on TD and requires passing a quiz, but is much more favorable than standard margin. However, with great power comes great responsibility, and using extended margin can wipe you out quickly when conditions change.

 

[treb]

Just tried to BTC a Dec 30 135P in ToS to free up net liquidity. Had a GTC limit I entered earlier, but when I tried to replace it with the current market price, it wouldn't execute. Called TDA and they said Citadel is having problems executing options trades. Nothing TDA can do until Citadel resolves the issue. Meanwhile, the price to buy back the put keeps increasing...

 

[BornToFly]

Just tried to BTC a Dec 30 135P in ToS to free up net liquidity. Had a GTC limit I entered earlier, but when I tried to replace it with the current market price, it wouldn't execute. Called TDA and they said Citadel is having problems executing options trades. Nothing TDA can do until Citadel resolves the issue. Meanwhile, the price to buy back the put keeps increasing...

Interesting. A friend is trying to do a roll and his hasn't gone through....

 

[intelligator]

Interesting. A friend is trying to do a roll and his hasn't gone through....

I have a BPS close and roll order that have been sitting an hour. Fidelity is broker, but I haven't contacted to know if it's same issue.

 

[samppa]

I'm worried that Elon can't turn Twitter into a profitable company, and will keep selling shares for the next year or longer.

 

[OrthoSurg]

Close today and reopen 160CCs for next week or wait?

Sold those yesterday
They +67% alreadu

 

[UltradoomY]

Close today and reopen 160CCs for next week or wait?

Sold those yesterday
They +67% alreadu
View attachment 885800

IMO the opportunity cost of opening on Monday is better - also shortened trading week next week with Friday being an early close due to day before Christmas eve.
Chances are higher for a gap up than a gap down at this point.
At least that's my non - advice.

 

[OrthoSurg]

IMO the opportunity cost of opening on Monday is better - also shortened trading week next week with Friday being an early close due to day before Christmas eve.
Chances are higher for a gap up than a gap down at this point.
At least that's my non - advice.

That’s what I am expecting too with the Christmas Rally and a gap up.
Anyway my trading rule is to close when I see +50% after one day. I am just trying to be greedy because au got beaten by the stock lately and my put assignements

 

[BornToFly]

I too am trying to decide what to do about calls. It seems like if they don't trigger 150 today, then will Monday. Today could be a perfect time to sell 155CC for next week and then close them Monday on a drop. But if the market rallies instead.... I haven't been listening to Dan Shapiro today, but he had been saying that if the QQQ falls below the 50 day (which it has now) it will keep going lower....

Edit: I'll wait another hour and see if we climb into the close. If not, I'll do a few 155s.

 

[bingoz]

I am leaning toward a green week next week due to 1) index finished rebalancing, the rest of the year will be retails trading with each other 2)TSLA RSI daily is below 30 3) santa rally might happen

But I could be dead wrong.

 

[GleanerC]

I had forgotten Fidelity can/will automatically close underwater spreads for you one hour before market close on Fridays. I had -160P/+120P spreads for today. Had the ticket up to roll but hadn't hit the submit as I got distracted. Usually I roll these on Thursday but was hoping for a turn around. Don't think I'll forget that one again.

 

[BornToFly]

So far TSLA not rallying with the QQQ into the close