Wiki Selling TSLA Options - Be the House

[SebastienBonny]

First off - love the new jet pic!

Second - this is no coincidence!
It is not only TSLA Quad witching but the whole market. Powell did his job well.
The whole market needed to be brought down for tomorrow.
I thought this last week - but I just couldn't believe it this week!

I rolled my June $230's out to August $260's for a small credit yesterday because I was scared.... Jeez, couldn't even trade my own plan.
Didn't cost me any cash yet but now those are locked up till August.
Also sold my bought Puts ($225's) for an 80% loss - good times!

At least my July $250 straddles haven't been touched yet and are burning theta.

Isn't it possible to roll them back in lower than 260 at no cost?
Wouldn't do it yet to be clear, because what we're seeing now is very preliminary.

Wouldn't mind seeing us trading around this SP for a few weeks now

 

[UltradoomY]

Isn't it possible to roll them back in lower than 260 at no cost?
Wouldn't do it yet to be clear, because what we're seeing now is very preliminary.

Of course, I'm not upset at the position, just upset that I let my emotions get to me - I want to exit some of my leap conversions I did earlier this year and late last year - when I converted a lot of shares to the June and December $200C leaps at very cheap costs.

But I want to do it at the $250 or higher strike and not $230 - so waiting till August for $260 is completely fine and nets me another $10 per contract of gain.
Will be using that cash to write aggressive Puts to get back into shares towards the end of the year and be in 75% shares and 25% leaps going into 2024.
Right now I am 75% leaps and 25% shares and cash that I have been writing puts with.
Looks like I will be buying 100 shares at $265 minus the $14 premium for the straddle I wrote on Tuesday - not too bad.

 

[elasalle]

Selling Dec 25 310 CC's was a big mistake ...
took the opportunity to roll forward to Jan 24 300.
lost some $$ in the process, but on the run up had good gains using margin to sell ATM PUTS for past 2 weeks.

If we hit 300 in Jan, with my 3K shares in personal I would have 900K, whereas with the Dec 25 Calls, I would have had to wait 2 more years for the 900K or get stuck in 650-700K range with the Dec 25 calls.
Now it my 5 Jan 24 PUTS start losing $ with SP gains, I might just be able to offset all losses ....
(*Don't mind 900K in Jan, as I have a big mortgage I want to reduce and save on the interest on that loan. When applying for the loan 3 mths back SP was in low 100s
Also, must not hit before Jan as I want to be in long term cap gains bracket ....)

cheers!!

 

[Max Plaid]

This is pretty weak sauce from the bears...

 

[Knightshade]

This is pretty weak sauce from the bears...

Was good enough to close my -260cs for the week sold at $3.75 for $1.27 at open- given how wrong I got last week closing my near-expiry +calls too early I'll take any W I can get.

 

[rikkert]

Right now I would not be surprised if we end this week very close to 255.

 

[Max Plaid]

I mean, we're all pretty bullish 'round these parts, but 54000 c825's...?

 

[EVMeister]

I mean, we're all pretty bullish 'round these parts, but 54000 c825's...?

View attachment 947264

Couldn't help myself.

 

[Knightshade]

I mean, we're all pretty bullish 'round these parts, but 54000 c825's...?

View attachment 947264

Almost 45,000 p0 though so worlds weirdest strangle?

 

[UltradoomY]

I mean, we're all pretty bullish 'round these parts, but 54000 c825's...?

View attachment 947264

This is the Quad - so weekly, monthly, quarterly and yearly - these would be $2475's presplit and about 2 years old -

So likely someone thought when we were at $1200 that we would be at $2475 this week and paid for them - on the other side, someone said - Yes, I will sell you another share price doubling at the ATH... and made bank.
Also, probably not worth closing out...

Makes sense to look at for the next time we hit ATH - sell the double price Leap!

 

[intelligator]

Wow, now that I've closed all my bad spreads, I feel so liberated albeit a loss. And with the price staying flat, I'll hold off selling shares until after P&D. Seeing it in writing, maybe half of what I intended before and the other half after. How we feeling about -C277.5 for Friday?

 

[traxila]

We got June 2024 750 calls selling for above 5.

Talk about a worst case scenario to dream for, being forced to sell shares at 750 a year from now.

 

[bingoz]

We got June 2024 750 calls selling for above 5.

Talk about a worst case scenario to dream for, being forced to sell shares at 750 a year from now.

It's so tempting.

 

[adiggs]

It also occurred to me that now is probably a great time to buy some shitputs, I'm thinking about July 28 +p195's for $2, on the basis that earnings may disappoint on margin and the FED could conceivably hike rates at the next FOMC on July 26th, I think a few of those wouldn't do any harm, with the full knowledge that they will probably expire worthless, probably... would also facilitate writing more weekly puts to help roll these calls up. Hmmmm

not-advice
More adjustments for me this morning. I'm using this $250ish share price to get back closer to balance in cash and shares.

Sold some of my purchased Jan '25 200 strike calls at $100 (in at $42, out at $100). I've got most of these left, but raising some cash at this point feels good to me.

This gets me closer to 1 part cash to 2 parts shares, so still overweight shares from where I'd like to be.

EDIT: And some Jun '24 200 strike calls. Feels like I'm holding a fire sale. Reality is that I kept buying the dip most of the way down to 100 (130s I think was my lowest buy). Selling some of that and I'm still >50% shares (by which I mean both shares and high DTE calls). More sales are necessary to get back to 50/50.


Also thinking the same as you on the shitputs idea. I bought July 7th +p195s for .88. My feeling is that we've run up so far, so fast, with effectively no news along the way, that a fall back into the low 200s on a similar lack of news is trivial. And still way far ahead of where we were a month ago. This purchases hedges against that outcome.


I'm looking for a noticeable down day before opening new csp or bps.

 

[myt-e-s-l-a]

...

Buy 1000 tsla @ 258.40
and
STO -10x CC tsla 230616C250 @ 11.50

Taking profits and rolling CC to next week. tsla @ 256.75


BTC +10x CC tsla 230616C250 @ 8.50
STO -10x CC tsla 230623C250 @ 12.60

for credit $4.10

 

[SebastienBonny]

Taking profits and rolling CC to next week. tsla @ 256.75


BTC +10x CC tsla 230616C250 @ 8.50
STO -10x CC tsla 230623C250 @ 12.60

for credit $4.10

Nice. That should feel good.

 

[rikkert]

We got June 2024 750 calls selling for above 5.

Talk about a worst case scenario to dream for, being forced to sell shares at 750 a year from now.

I don't know. Locking up shares for a whole year for just $500 per contract?

I mean, next week's 290s are ~$1.45 and that might be considered pretty safe.

 

[CHGolferJim]

This is the Quad - so weekly, monthly, quarterly and yearly - these would be $2475's presplit and about 2 years old -

So likely someone thought when we were at $1200 that we would be at $2475 this week and paid for them - on the other side, someone said - Yes, I will sell you another share price doubling at the ATH... and made bank.
Also, probably not worth closing out...

Makes sense to look at for the next time we hit ATH - sell the double price Leap!

1. Why didn’t the c825’s show up on early 6/16 Max-Pain charts?
2. Tomorrow, June 16th, Quad witching day, is liquidity dramatically up or down from today, or even, even? I have to do some DITM cc rolls, should I do before 1PM to avoid late-day illiquidity?

 

[Jim Holder]

 

[UltradoomY]

1. Why didn’t the c825’s show up on early 6/16 Max-Pain charts?
2. Tomorrow, June 16th, Quad witching day, is liquidity dramatically up or down from today, or even, even? I have to do some DITM cc rolls, should I do before 1PM to avoid late-day illiquidity?

Not sure how the "Max Pain" website charts things but they have been there since 2021 - probably just a rendering feature of the site.

For tomorrow - There will be a huge increase in activity in the afternoon and late day liquidity is fine - might take time depending on what side of the bid / ask spread you are on for the roll though.

Might even be a late day hard push down - but that is something that will be interesting to watch as long as you don't have anything that can go ITM.

We have seen this happen before on Quads - they are just massive as far as market wide expiration.

I will be buying lottery tickets at some point around lunch time for giggles - probably some puts in the $0.20 range around noon with my fingers near the button to sell.

Edit - for clarity - there are also almost 4k open contracts at the $400 strike puts that were the old $1200's