SpeedyEddy
Active Member
more wait-what-happens-day-after-earnings-collapse? now at least all things that could have surprised to the upside are out of the way. Nothing apparently.
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Wiki Selling TSLA Options - Be the House
- Thread starter adiggs
- Start date
Stretch2727
Engineer and Car Nut
It's definitely earnings. I sold an "at the money" 295 call for $12.43 on the 18th. Meaning the stock was approx 295 when I sold the call. Even yesterday this was still above $12 with the stock declining to around $290 at close.
Today an at the money call of $265 is $3.6. The stock price is currently around $265.
Normally there is a nice slow decay of the premium. Today it is a step function. I believe there is an intentional increase in the price of the options prior to earnings due to the expected/potential volatility in the stock price.
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SpeedyEddy
Active Member
Todays volume only being just a bit higher than average sustains that this is not the real deal, the only question being: where is the trap being installed. late hours/darkpool/tomorrow's large trades will tell more. Now we have come this way so far, maybe Max Pain (260) will play a roll again tomorrow. (although trades were concentrated around 270 today, so 265 will be favorable for tomorrows close I guess. I will day trade again accordingly.. (nothing else left to lead us...)
I rolled a couple of $225's for next week to Jan 24 300's for a $14 debit in case we bounce here at $264. I would love to see $240 for personal reasons 
. I wonder if next week we will dip farther since Elon kind of mentioned that interest rates and pricing go hand in hand.
. I wonder if next week we will dip farther since Elon kind of mentioned that interest rates and pricing go hand in hand.
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STC 7/21 270 P @8.. ~4x 24 hours. Thx
I was pretty confident we’d drop after ER, but I really didn’t think it would be s.t.b drop.
I was pretty confident we’d drop after ER, but I really didn’t think it would be s.t.b drop.
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SpeedyEddy
Active Member
SpeedyEddy
Active Member
last try failed (got nervous on run up so gave back 5 shares). total on SP delta in stocks today + 10 and on options this week +18 shares, so net +28 shares for the week and some good news, $264,19 possibly will hold for the day and close is (in that case) not at the bottom, so possible rebound tomorrow. Volatile days to come I guess, which is good for IV.. (I'm all in on stocks again as promised (to myself)).
[Edit] I could have done better.... hmmm .... doesn't look good [/Edit]
[Edit] I could have done better.... hmmm .... doesn't look good [/Edit]
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I closed the rest of my $275's at $14 when the uptick rule hit. Not mad about that! $12 gain per for less than 24 hours.
This was a good lesson in why to not roll ITM calls. My short puts (300/285/280/275) aren’t looking so good but my short calls (230/255/275/300/310/320) improved more than the puts worsened.
I doubled my -c255 and now have 16x -c262.50 for tomorrow. If I can close them out, I can then work on doubling up the -c230s for next week. Will roll all the puts tomorrow, I figure if the 262.50c don’t expire at least my puts should improve.
I doubled my -c255 and now have 16x -c262.50 for tomorrow. If I can close them out, I can then work on doubling up the -c230s for next week. Will roll all the puts tomorrow, I figure if the 262.50c don’t expire at least my puts should improve.
One of those days eh, 10% drop after a decent earnings, uptick rule triggered...
I took a long hard look at the 30x 7/28 -p300 I sold earlier and realised there was almost no extrinsic value, quite surprising for 10% ITM, but there you have it. Didn't feel comfortable with that, so played my joker card:
- STC 30x Jan 24 p250
- BTC 30x 7/28 -p300 -> STO -p270 (= much more comfortable)
- BTC 13x 7/21 -c290
- BTC 4x 7/21 -c287/50
- BTC 1x 10/20 -c200
- STO 18x 7/28 -c270
So yes, I gave up my +p250 safety-net, but what's the point in paying for insurance if you don't claim on it when you need??
And reduced my -c200's by one more -> 87x remaining
Tomorrow 24x -c270 in play, looking for a staring roll to next week to join the straddle in place -> can hopefully buy back another couple of -c200's with those premiums...
I took a long hard look at the 30x 7/28 -p300 I sold earlier and realised there was almost no extrinsic value, quite surprising for 10% ITM, but there you have it. Didn't feel comfortable with that, so played my joker card:
- STC 30x Jan 24 p250
- BTC 30x 7/28 -p300 -> STO -p270 (= much more comfortable)
- BTC 13x 7/21 -c290
- BTC 4x 7/21 -c287/50
- BTC 1x 10/20 -c200
- STO 18x 7/28 -c270
So yes, I gave up my +p250 safety-net, but what's the point in paying for insurance if you don't claim on it when you need??
And reduced my -c200's by one more -> 87x remaining
Tomorrow 24x -c270 in play, looking for a staring roll to next week to join the straddle in place -> can hopefully buy back another couple of -c200's with those premiums...
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Some people are warning loudly about the Nasdaq rebalance on this coming Monday, saying today’s dip is “nothing like what’s about to come.”
Is this true, or fear-mongering nothing-burger like Y2K, or no one knows until it happens?
In the past has rebalancing caused huge dips?
If yes, maybe time to buy some puts or write short calls tomorrow.
Is this true, or fear-mongering nothing-burger like Y2K, or no one knows until it happens?
In the past has rebalancing caused huge dips?
If yes, maybe time to buy some puts or write short calls tomorrow.
Only made like $600 on the whole lot of 15.
walkrunflyy
Member
Worst timing ever, I was on a transatlantic flight today and had to close my 3x 7/21CCs yesterday at the $289 price. Big loss
Yeah, I hate it when situations force your hand. But that's better than losing the shares. Although, why not roll them to next week?
Anyone looking for a clue as to how today could play out may want to have a look at what happened after the Q1 earnings report. So far things have played out in an eerily similar way - down after hours during the call, down over 10% on the Thursday, up pre-market Friday. (You would almost think it's planned that way).
That was a similar situation with earnings meeting expectations (even better for Q2) but margins disappointing and the threat of price cuts over-shaddowing the actual performance. Unfortunately we traded mostly sideways for nearly a month after Q1 ER before embarking on the most recent upwards run.
That was a similar situation with earnings meeting expectations (even better for Q2) but margins disappointing and the threat of price cuts over-shaddowing the actual performance. Unfortunately we traded mostly sideways for nearly a month after Q1 ER before embarking on the most recent upwards run.
SpeedyEddy
Active Member
Interesting to look for analogy, but rebalancing plays a roll, so depending on if "they are ready rebalancing"there could be another sell-round today. These are big players, that do not trade outside regular trading hours (because of the volumes, they would ruin it for themselves and leave everybody in doubt @opening) SO what we see now pre-market is retail "buying the dip" so I sold a bit again, expecting at least 1 dip today, maybe not into the close, but yesterdays sell-off brought Max Pain to 250, so that's not in favor either. Maybe we get a bottom around 243 or even fill the 235 gap and when rebalancing is over and done with a run back up, so be careful today. I guess rebalancing is not over, because it had such an impact yesterday they stopped or had a plan to spread including today, I dit not check all of the bigger trades but I count at least 7 huge 5-minute selloff candles, the last one at close. We are not yet oversold on the daily at all, so there is room for a lower bottom. Never catch a falling knife!
KTC Lurker
Member
The stock looks like it's pricing in a rate hike on Weds. I'm not so sure they'll raise again yet, as they have the rest of the year to do 1-2 more threatened hikes. Curious what side of the bet, if any, you all will be taking for Weds?
strategizing ...
52 K gains on Jun 350 Covered Calls, 6K losses on Jun 300 PUTS (smaller number of puts), if price drop continues ... say 250 today or monday, might be best to close out these positions and wait for the rebound ...
*closing costs still high ... might be better to wait it out ... or take losses only on the PUTS ...
** sold 100 shares, closed the 5PUTS, and bought 4 Dec 25 300 Calls for ~ $72 each. Might add a few more calls on way down ...
closing CC's needs too much capital, so will let it bleed ...
Max loss with all this shuffeling since earnings is gonna cost 11K at most
52 K gains on Jun 350 Covered Calls, 6K losses on Jun 300 PUTS (smaller number of puts), if price drop continues ... say 250 today or monday, might be best to close out these positions and wait for the rebound ...
*closing costs still high ... might be better to wait it out ... or take losses only on the PUTS ...
** sold 100 shares, closed the 5PUTS, and bought 4 Dec 25 300 Calls for ~ $72 each. Might add a few more calls on way down ...
closing CC's needs too much capital, so will let it bleed ...
Max loss with all this shuffeling since earnings is gonna cost 11K at most
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