Thanks to the kind "non-advice" from some members here, I cleaned up my short call "bag of snakes" and can breath for a change.
Sharing what I did here in case it can be helpful to others:
During the volatility today I pushed all my ITM and soon-to-be ITM short calls (many were naked because of my nutty idea to stagger them $5-$10 apart each week which blew up in my face in the run...) to
December 2025 -C500 and bought some
December 2025 +C150 LEAPS. Gained some peace of mind, reduced naked calls in the process, and my maintenance requirements are no longer in danger in case of a continued run.
My plan is to either close the calls and sell the shares at a price I feel is the top for this run, maybe
$360 or so, or to sit tight and wait for the correction once it's pulled back from that high, perhaps targeting $230-$250 by June 2024, where I can BTC some or all the short calls for small loss or even some gains.
My 5,800 shares avg. CB are $311 after all is said and done, so even if I let it run to expiration, I don't mind them being called away in 2.5 years @ $545 ($500+$45.23 premium) =$1.5M profit.
As this is my first time selling and buying LEAPS, those here that have been doing it for a while, can you share the ups and the downs of trading them and best practices as the time marches on?
GLTA!
Here are the positions I opened:
View my options strategy on OptionStrat
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P.S. The reason for the three different strikes had to do with premium credited/debited from previous ITM short calls and was the best I could do. I will try to strike improve and reduce the few naked calls I still have at opportune times.
P.P.S. A side benefit from having the shares "locked up" to 12/2025 is that it forces me to keep them and earn the nice profits at the end (and yes, I realize TSLA can be $700-$1,000 or more by end of 2025 --and maybe not) but in the interim, there'll be opportunities to adjust.