Are these on shares you are looking to get rid of or shares with a CB above 120 that you’re trying to protect?
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Wiki Selling TSLA Options - Be the House
- Thread starter adiggs
- Start date
Are these on shares you are looking to get rid of or shares with a CB above 120 that you’re trying to protect?
Shares I have from assigned Puts - assigned at $175 minus premium (around $170 CB)
Will roll up to $175 if needed before closing, no big deal. Been doing nothing lately and looking for some fun. It's less than 25 contracts, so nothing crazy.
Lots of selling at -c125, good, good, I sold -c130's on Wednesday already 
$113 close, I'll take it! One of the those weird days when you'd bet your house, wife, kids and dog* that the the stock will close way down, probably trigger the uptick rule and like break below 100. As it happens at a couple of points TSLA was up almost as much as AAPL and was only slightly below QQQ, but above SPY
And also interesting, we closed above MP, which was $111, I can't remember that happening in a while...?
*on second thoughts, the dog isn't to be wagered...
$113 close, I'll take it! One of the those weird days when you'd bet your house, wife, kids and dog* that the the stock will close way down, probably trigger the uptick rule and like break below 100. As it happens at a couple of points TSLA was up almost as much as AAPL and was only slightly below QQQ, but above SPY
And also interesting, we closed above MP, which was $111, I can't remember that happening in a while...?
*on second thoughts, the dog isn't to be wagered...
Good News for you guys
February 24th 2022 I woke up with a 2k margin call, the stock price was -6% premarket, I liquidated 80% of my underwater puts and tried to roll them 1 year out but broker denied the roll because of margin call and requirement. The stock price recovered +8% intraday and closed green +2%. The stock recovered 42% the 2 following months.
January 6 2023, this morning I woke up with a 2k margin call, thought about liquidating my position if we crashed after open, we recovered 11% intra day and closed positive +2%. The only thing I can deduct if that we will recover 42% in the following 6-8 weeks before we go for the next leg down in March.
That’s 100% speculation but it’s exactly how I feel, like history repeating itself.
The only difference is that today I learned from my mistake and did nothing.
February 24th 2022 I woke up with a 2k margin call, the stock price was -6% premarket, I liquidated 80% of my underwater puts and tried to roll them 1 year out but broker denied the roll because of margin call and requirement. The stock price recovered +8% intraday and closed green +2%. The stock recovered 42% the 2 following months.
January 6 2023, this morning I woke up with a 2k margin call, thought about liquidating my position if we crashed after open, we recovered 11% intra day and closed positive +2%. The only thing I can deduct if that we will recover 42% in the following 6-8 weeks before we go for the next leg down in March.
That’s 100% speculation but it’s exactly how I feel, like history repeating itself.
The only difference is that today I learned from my mistake and did nothing.
EVNow
Well-Known Member
NOTE that 2 weeks away, Jan 20, is the expiration for the Jan '23 leaps. These have been available for over 2 years and is a trading week that is always highly influenced by previous activity.
A few years back I had bought some 500 and 600 strike calls. They expired nearly worthless (share price 510ish). It was 650 the next week. I wasn't off by 1 week - I was off by 1 expiration; an expiration that matters.
not-advice
I might open and close a position next week. I won't open anything for that Jan 20th expiration - just sitting on the sidelines and watching it go by.
A few years back I had bought some 500 and 600 strike calls. They expired nearly worthless (share price 510ish). It was 650 the next week. I wasn't off by 1 week - I was off by 1 expiration; an expiration that matters.
not-advice
I might open and close a position next week. I won't open anything for that Jan 20th expiration - just sitting on the sidelines and watching it go by.
Maybe this topic is testing the limits of relevancy for this thread, but don't sleep on how the U.S. House Speaker negotiations may affect the debt ceiling later this year -- deal frameworks are hinting at making it even more difficult for the House to pass a debt ceiling increase should they be agreed upon. Personally, I will be looking for opportunities to hedge for one of the blackest swans in existence in some form or another as we get closer to the likely "X" date. (Mid- or Q3'2023). (Of course, if the US does default, whose to say whether hedges will even matter at that point, but now I'm really straying far afield.)
I did the same, for the first time in a while. I've been telling myself the SP is too low to sell CCs. And missing out on premiums. Finally decided to get back in. As usual, I would be thrilled to have to roll these next week.
Painful reminder I traded some shares for 1/20/2023 calls a couple of years ago. Very painful.
Expensive lesson for being greedy, not needy.
I blew it. I sold in the pre-market after waking up at 3am in a panic. I thought after all the not so scary stuff that has brought down the stock price, there was no way the stock would hold up well after significant price cuts. I wasn't worried about the company, but just the optics after Tesla and Elon have been stateing that they didn't see any demand issues for the foreseeable future. I sold 2,000 shares in my Roth, at $104 and that put my mind at ease and I was able to go back to sleep. Well that hasn't worked out so well as you've probably guessed.
I'm not looking for any investment advice of course. I'm just curious what some of you might do if you had made this mistake. I'm also not sure if selling covered puts with the cash would be a good idea.
When I sold I was thinking I would just buy back when the price got back to around a hundred a share. If I was wrong I figured I would buy back before it hit $150, to give it some time to fall back down to where I sold at.
When I started crunching the numbers in the morning I realized if I wait until $150 per share, I'll lose about 605 shares. A loss of $240,000 when it gets back to $400 per share. That sounds really painful.
If I buyback in right now I'll lose 148 shares or almost $60,000 when it gets back to $400, but I'll be really be kicking myself if the stock drops down to $100 again.
I just needed to share my misery with someone that might be able to relate to what I'm going through. Thank you for listening.
I'm not looking for any investment advice of course. I'm just curious what some of you might do if you had made this mistake. I'm also not sure if selling covered puts with the cash would be a good idea.
When I sold I was thinking I would just buy back when the price got back to around a hundred a share. If I was wrong I figured I would buy back before it hit $150, to give it some time to fall back down to where I sold at.
When I started crunching the numbers in the morning I realized if I wait until $150 per share, I'll lose about 605 shares. A loss of $240,000 when it gets back to $400 per share. That sounds really painful.
If I buyback in right now I'll lose 148 shares or almost $60,000 when it gets back to $400, but I'll be really be kicking myself if the stock drops down to $100 again.
I just needed to share my misery with someone that might be able to relate to what I'm going through. Thank you for listening.
Why were you in a panic? Do you have Margin issues like the rest of us? If not, just HODL. I wouldn't be surprised if we go lower than today's close on Monday, so you will probably be able to get back in with a little less damage.
You could sell Puts to try to get your shares back, but if the stock keeps climbing, the added delay could make the problem worse.
We have CPI coming up, and Earnings soon, so hopefully we can get back to at least the 150s by the end of the month....
I have an expense that I have to sell some shares for next week to cover, so with the stock at ~$107 I "panicked" and sold some $113 calls for next week to get a little extra juice. Of course, then the stock then proceeded to head right over that, so I sort of shot myself in the foot. We'll have to see what happens next week.
But your welcome, I knew the second I "sold" the shares things would start to recover.
But your welcome, I knew the second I "sold" the shares things would start to recover.
I dont panic because:
a/ No matter how bad the news is, if its bad for Tesla, its probably worse for everybody else; they just dont know it yet.
b/ No matter how low the stock price is, Im mentally and financially prepared for another 20% drop.
c/ At 100, the rewards for holding are much larger than the risks.
d/ I ask myself would an idiot do this. If they would then Im not gonna do it regardless of how I feel.
I sold some in premarket for upcoming expenses but bought some calls to partially replace some of the shares if we do run up.
If I were you I’d buy some 2025 calls with the proceeds. Especially if we’re back down a bit on Monday. You can keep similar exposure and have extra cash, at the risk of losing the cost of the calls if we don’t recover in the next two years.
Otherwise, I’d sell cash secured puts to either make a little income or get your shares back at your selling price.
No margin. Just kind of lost my sanity when I was reading doom and gloom comments about the bloodbath these price cuts were going to cause. I've just lost so much already. I thought there was no way the stock would go up as much as it did today. I couldn't sleep and I bought myself a few hours of sleep with a false sense of security. It's the same panic I'm feeling right now about buying back right now at a loss. What are the odds we won't be dipping back down towards $100 again? Seems like pretty good odds it will, but maybe it won't. Ugh.
I did the same thing as you February 24th 2022 and lost 1M of potential gains in 2 months. Really a lesson I will carry for the rest of my life. It’s the reason I didn’t close everything at open today. I waited. Because last time I paper handed, the stock went to a magnificent +42% climb
This guy was bearish the whole way down but made a bottom call today:
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