Wow, I may need to move -c262.5 , wasn't expecting getting close to expiry. What is the consensus?
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Wiki Selling TSLA Options - Be the House
- Thread starter adiggs
- Start date
I base this on nothing concrete, but I'm expecting a close between 270-280 before P&D. The SP has been flat the last two weeks (look at 1 month chart) and we usually have a buy the rumor. That being said, we seem to be following the QQQ with a 2-4X beta, so macros may dictate what happens the next three days.
Sold Mar 350 CC's against all personal shares for ~$20. (previous sold for $25 and closed at ~17-13)
Big Call Wall ~ 70K at 260, and need to be carefull for long week end 4th of July bear raid specials
Happy, regardless of which way the SP moves now
Hoping for big P&D as well ...
Big Call Wall ~ 70K at 260, and need to be carefull for long week end 4th of July bear raid specials
Happy, regardless of which way the SP moves now
Hoping for big P&D as well ...
P&D announcement is likely Sunday 7/2 therefore this week isn't really P&D week as the options would of expired by this Friday. Next week's option should still have more IV built in and deflates after we get the numbers.
Is this a recurring strategy — sell $100 OTM 9 mo. CC and roll after 33% gain? Hmmm…….Sold Mar 350 CC's against all personal shares for ~$20. (previous sold for $25 and closed at ~17-13)
Big Call Wall ~ 70K at 260, and need to be carefull for long week end 4th of July bear raid specials
Happy, regardless of which way the SP moves now
Hoping for big P&D as well ...
Selling CCs is the recurring strategy. Selling longer term, OTM calls needs:
1. less maintenance
2. more flexibility in order to manage.
3. the gains after a big run up show up in portfolio.
Big dips and I close and wait for the next opportunity. Big SP rise and I shuffle things around, move to further out Strikes/months and again wait for the IV, gamma etc to revert to mean ...
All my shares are intact and CC surfing has been great so far
(Actually I have accumulated more shares with this and so far have survived all the crazy run ups ...)Jan-March, I am OK with getting called (above 300) and use the proceeds for a big mortgage payment.
IRA based Jan 24 CC's all in 400s and those i need to better manage as I don't want to lose the shares at 400.
*As far as timing, selling far OTM leap based CC's in window when things are very hot like last 2 weeks is best, but timing that is hard, once you are playing with this strategy all the time.
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268 remains the big test. The entire bounce from 102, while looking deceptively impulsive, has only formed a nearly perfect looking zig zag. This is concerning as it might just have been a big dead cat, hence when I made my bet for 2023, I only went for 250 and not 300.
My read is if P&D is really good, like 20k over, we might see 296-300 before ER. If it's just meeting exp, more consolidation between 260-230. If it's a miss, we test 217.
Since 268 remains the big test for the bulls, I don't think we're going to break it this week. If we could have, we would have.
Today is a tail wagging the dog day. What I don't know is whether these calls getting bought are new calls or short calls being covered before P&D. Net call flow for the week is firmly negative.
My read is if P&D is really good, like 20k over, we might see 296-300 before ER. If it's just meeting exp, more consolidation between 260-230. If it's a miss, we test 217.
Since 268 remains the big test for the bulls, I don't think we're going to break it this week. If we could have, we would have.
Today is a tail wagging the dog day. What I don't know is whether these calls getting bought are new calls or short calls being covered before P&D. Net call flow for the week is firmly negative.
Thank you for the update. Can you share what calls and put plays you have on going into next week and July in general?
I'm going light on short puts @ 245 for 7/7. For the calls I sold 300C early Monday and will close some tomorrow. I'm dipping into margin a bit here. Although the chart says caution, I think Tesla has a lot going for it for the rest of the year. Plus, call flow for today remains positive so I'm looking for a spike by EOD tomorrow. Maybe I'll close some of these puts for profit then.
Interested in where you see an expectation of a spike. Monitoring gamma and oi over the past few days, it seems as though 240 to 260 is the range that we would trade within. I'm curious for one, mostly because I have a 262.50 sold call that I'd rather see expire.
Recent rolls in IRAs:
- 23Jun$230 —> 14Jul$235, $1.00 credit
- 14Jul$235 —> 4Aug$250, $3.19 debit
- 21Jul$205 —> 4Aug$215, $6.75 debit
- 14Jul$310 —> 4Aug$300, $5.11 credit
IV is going higher the last 2 days and I imagine it will stay high through tomorrow. Won't be hard to have a good spike to maybe 265 as more calls pile in for P&D.
I've not followed IV, thanks for sharing this insight; I am just beginning to understand its effect on pricing. BTW, I misrepresented the range, should have read as tightening between 250 to 260, not 240.
It's pretty quiet around here this week
I'm still locked out of my account - postal strike in Belgium this week has delayed the arrival of my new security codes
Anyway, I phoned the broker and setup a STO 30x 7/7 -260 straddle order limit $10.1 & $9.1 now in place. Was a painful process doing this verbally, I can tell you! Now let's see if they trigger, needs 257 - 261 range to sell both sides...
I'm still locked out of my account - postal strike in Belgium this week has delayed the arrival of my new security codes
Anyway, I phoned the broker and setup a STO 30x 7/7 -260 straddle order limit $10.1 & $9.1 now in place. Was a painful process doing this verbally, I can tell you! Now let's see if they trigger, needs 257 - 261 range to sell both sides...
To piggyback on the @Max Plaid post - I am slow this week just hoping for a close above $260.
Have shares from 2 weeks ago $265 straddle put to me at CB of $251 that are tied to a $260CC
In addition to that I have ALL of my leaps up for LCC's today at on $260Calls - will be converting these to cash at either a great time before P&D or a terrible time before P&D.
I wanted to convert to cash at $250 and have been milking some CC income, lost some on $230's I sold too early that I rolled out to August but rolled them back in with proceeds from Puts these past 2 weeks to this week $260's
Since these are Leap Covered Calls I will be manually selling the Leaps on a pop and closing the short calls and any dip.
I had been accumulating thee leaps (January and December 2025 - $200's) between $35 on the low end and $50 on the high end starting in December of last year.
Only really able to sell calls against them the past month and a half for any real money - was selling monthlies for $0.50 each or so for a while while we were in the low #100's but have been able to make some of the cost back since April.
These were share conversions I did - where I sold lots of 100 shares to purchase 3 Leaps with the the proceeds and pocket the incremental cash.
Cash was used to write cash backed Puts since then and that has helped to buy more leaps.
Long story short - Going to cash right now for a business venture that I want to self fund instead of using debt in this market.
Still have the rest of my core shares and will sell CC on those but will be out of the game so to speak here for a while unless this business deal falls through.
I will be staying up to date on the thread though... since I just love it!
And honestly, I probably wont be able to stay away long.
Cheers and happy 4th for those in the USA!
Have shares from 2 weeks ago $265 straddle put to me at CB of $251 that are tied to a $260CC
In addition to that I have ALL of my leaps up for LCC's today at on $260Calls - will be converting these to cash at either a great time before P&D or a terrible time before P&D.
I wanted to convert to cash at $250 and have been milking some CC income, lost some on $230's I sold too early that I rolled out to August but rolled them back in with proceeds from Puts these past 2 weeks to this week $260's
Since these are Leap Covered Calls I will be manually selling the Leaps on a pop and closing the short calls and any dip.
I had been accumulating thee leaps (January and December 2025 - $200's) between $35 on the low end and $50 on the high end starting in December of last year.
Only really able to sell calls against them the past month and a half for any real money - was selling monthlies for $0.50 each or so for a while while we were in the low #100's but have been able to make some of the cost back since April.
These were share conversions I did - where I sold lots of 100 shares to purchase 3 Leaps with the the proceeds and pocket the incremental cash.
Cash was used to write cash backed Puts since then and that has helped to buy more leaps.
Long story short - Going to cash right now for a business venture that I want to self fund instead of using debt in this market.
Still have the rest of my core shares and will sell CC on those but will be out of the game so to speak here for a while unless this business deal falls through.
I will be staying up to date on the thread though... since I just love it!
And honestly, I probably wont be able to stay away long.
Cheers and happy 4th for those in the USA!
Reminders in the interest of planning for next week - Market closes early (1pm ET) on Monday and is closed on Tuesday. Also, P+D likely Sunday
Short week slightly offsets the potential volatility of P+D but I think I will be further OTM next week regardless.
Short week slightly offsets the potential volatility of P+D but I think I will be further OTM next week regardless.
Low volume days like today, almost certainly monday and even parts of next week often lead to irrational pricing and higher than expected vol., certainly beyond what the options math might indicate.Reminders in the interest of planning for next week - Market closes early (1pm ET) on Monday and is closed on Tuesday. Also, P+D likely Sunday
Short week slightly offsets the potential volatility of P+D but I think I will be further OTM next week regardless.
Today, it’s all about window dressing, well and $DXY weakness
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