Wiki Selling TSLA Options - Be the House

[Jim Holder]

So far it looks like Cary from Wicked Stocks nailed it again, calling for a session containment of $251.48:

If we lose that then $243.51 in sight, followed by $204.01 over August trade. But of course TSLA might find a (small) bounce somewhere in between.

 

[Max Plaid]

Earlier BTC 57x Sep 2024 -c200 @$87, then set a STO 56x @$88, which triggered "on the pop" (sold yesterday for $93 so realised $34k and one less -c200...)

 

[SpeedyEddy]

Used this first dip to buy some $300 leaps for Jan ‘25 (@$49.50). maybe we are even bound for closing 1 of the many gap-ups soon ($234-ish). But I might not hope all of the gap-ups will be closed (resulting in a bottom of $145 yes onefourtyfive!) any time, I’m gonna try to sit on my hands and wait for bottoming out (meanwhile letting expire worthless or closing -CC 240, or, still being ITM, rolling them (even a bit up now share-price is falling) )

 

[tivoboy]

Used this first dip to buy some $300 leaps for Jan ‘25 (@$49.50). maybe we are even bound for closing 1 of the many gap-ups soon ($234-ish). But I might not hope all of the gap-ups will be closed (resulting in a bottom of $145 yes onefourtyfive!) any time, I’m gonna try to sit on my hands and wait for bottoming out (meanwhile letting expire worthless or closing -CC 240, or, still being ITM, rolling them (even a bit up now share-price is falling) )

Wow, that seems pretty cheap IMO..I wonder if it means the opposite of the expectation.

 

[Jim Holder]

Wow, that seems pretty cheap IMO..I wonder if it means the opposite of the expectation.

Here's a visual. Theta begins to eat it up mid-next year:

Error 404

optionstrat.com

 

[adiggs]

Earlier BTC 57x Sep 2024 -c200 @$87, then set a STO 56x @$88, which triggered "on the pop" (sold yesterday for $93 so realised $34k and one less -c200...)

Wow - I could, in theory, do some trades like this. I'd feel like my hair was on fire after the BTC, and before the STO.

But earning $6/share in a day, on 5700 shares, is pretty awesome

 

[ReddyLeaf]

So far it looks like Cary from Wicked Stocks nailed it again, calling for a session containment of $251.48:

View attachment 961706
View attachment 961709

If we lose that then $243.51 in sight, followed by $204.01 over August trade. But of course TSLA might find a (small) bounce somewhere in between.

Tomorrow still looks pretty grim. Daily pivot around $259.52, high $269.27, low $250.53 (again), and $244.51 by Friday if we’re unlucky. I really feel like we will open below $250, then drop to $244 before recovering a bit. Still feels like a bearish continuation of today. Hoping that I’m wrong. Still haven’t bought bear put spreads or sold bear call spreads. Maybe tomorrow if the direction and open options are clear, but doubtful. I did close my 8/18 CCs at the low today, and resold 8/4 -c260s before the close. I don’t expect to need to roll, but will if necessary. Still holding capital for a possible drop to the $220s and buying back some 2025 CCs or buying bullish call spreads. Still need to research options and any suggestions welcome. As always, GLTA.

 

[MikeC]

Finally closed out 265/267.50/275 CCs; still holding 12x 260 CC that are the last of the sub-200 CCs I had run over. I am happy to have rolled these to near expiration but now I feel exposed to any further downside movement. I don't really want to open any new CCs after this drop - but that's also the mentality that had me avoiding selling CCs all through 2022. So maybe some 275-280s for next week if I can get rid of the remaining 260s for this week.

I also have ITM CSP at 255/270/275/280 now. My strategy had been to convert some of these to calls to balance risk on each side, but I would have to sell a lot of contracts or DITM - then if the stock starts going up I'll be back in trouble with CCs again. In a way, it's a strategy to sell puts high and calls low. So now planning to just roll them flat and squeeze out strike improvement when I can.

 

[Max Plaid]

Wow - I could, in theory, do some trades like this. I'd feel like my hair was on fire after the BTC, and before the STO.

But earning $6/share in a day, on 5700 shares, is pretty awesome

All against LEAPS, of course, and part of my ongoing -c200 rescue plan

And in case you missed it, those 57x Sep 2024 -c200's were 80x Oct 2023 -c200's on Tuesday morning, recuperated +$20 there and reduced the number of contract 80x - 57x

However, maybe it's not a rosy as it looks on first sight, those -c200's were originally July 2023 150x -c200 sold for +$15 in May, 200 seeming to be a reasonably safe target back then, I still had 95x that had to be rolled as July expiry approached, so I took a heavy realised loss on this already, bought -$60 per contract, so now I'm just clawing some of that back

And of course, I'm using weekly premiums to buy them back, which has gone quite quickly

Is this the best approach I'm taking? I don't know, it's impossible to predict and depends on the SP - if the markets crash then the best thing to have done would be to take weekly premium and save it up to buy back the calls at a lower price, but if the SP rallies then closing them out as soon as possible is better, so who knows...

 

[Max Plaid]

Wow - I could, in theory, do some trades like this. I'd feel like my hair was on fire after the BTC, and before the STO.

But earning $6/share in a day, on 5700 shares, is pretty awesome

And yes, there was some stress between the BTC and STO - especially as I'm on vacation and wasn't in front on my computer, I set the buy limit in a shopping mall in Copenhagen, waited for it to trigger, then put the STO order in, but the SP kept dropping and I needed to wait nearly 2 hours for it to hit, and given that this was the thick-end of half a million $$$ being tossed around, yeah, can get one a bit anxious

Even worse, very low liquidity on these options, I've basically the only person trading them, the three big trades all being mine - and I chose Sep 2024 as opposed to Jan, Mar or Jun, because the Bid/Ask spread was less than $1 the others were wider that $2, which I find a little weird as there's huge open interest on some of them, but no-ones currently trading

 

[strago13]

Rolled $262.5 0804 CSP to $260 0811 CSP for a credit this morning. 4th roll on these bad boys.

 

[MikeC]

I have a feeling the options gods don't want to let my 260 CCs expire this week. So I rolled -p270 CSP down to -p260 by adding a few contracts so I can't lose both.

 

[BornToFly]

Sold naked 100X 315 and 100X 312.5 calls for next week for 0.1 each. Hopefully safe play money. Rumors on Twitter that new Model 3 is starting production in China. Maybe that could take us over 300 next week if true?

 

[SpeedyEddy]

Nah, only the resulting price-cut later on will …. lower the share price, because of mis-interpretation, as usual. “Q3 sales of model 3 falling TSLA has to drop prices, Gross margin dropping further” then earnings come and both gross and net profit could both be lower because of the recent production pause on model 3 lines (except when inventory will drop (which will happen) and mY growth exceeds m3 drop). So enough to be bearish and bullish on, can go either way, so be careful out there. 1 drop to $240 can happen tomorrow already if the big numbers and especially outlook of A&G disappoint. They can take the market along. So still on my -CC240, which I will likely roll, glad to have bought the LEAP C300 Jan ‘25 yesterday @49.50.
once $240 has been the bounce I will convert -CC into -P to cover

 

[BornToFly]

Premiums are crappy now. 1/3 of what they were before earnings for 20% OTM calls. I should invest in an options flow tracker because it might give a hint for the next big move where options sellers get steam rolled. I feel like 235 is just as likely as 300 next week.

 

[BornToFly]

I just signed up for a two week trial of Flowalgo. Massive Call buying today. 79% of options bought were calls. Very bullish. Includes $1.6M bet on 272.5 Calls for 8/18.

 

[intelligator]

I'll take a SWAG at today, that we end below 260. I've been wrong mostly I have -c270 and -c272.5 ... will watch and if we go the opposite, will close out to preserve the remaining credit. GLTA!

 

[Max Plaid]

I'll take a SWAG at today, that we end below 260. I've been wrong mostly I have -c270 and -c272.5 ... will watch and if we go the opposite, will close out to preserve the remaining credit. GLTA!

View attachment 962164

MP is 260, but you'd say looking at the chart that there would be a preference to close just below 260, preferably after an early spike to wipe-out the p260's first...

 

[intelligator]

I'll take a SWAG at today, that we end below 260. I've been wrong mostly I have -c270 and -c272.5 ... will watch and if we go the opposite, will close out to preserve the remaining credit. GLTA!

BTC each for pennies, on to the weekend !

 

[Max Plaid]

Damn that's some volatility today, made it hard to close out trades, but I managed OK, picking off the -c260's and -p260's for 80c a piece, then waiting on a drop as the SP was rising into the 260's for the -c250's, which finally came, quite dramatically across the markets, and I got rid off those too - a little early when the SP dropped below 259, could have made an extra +$2 per contract if I'd waited, but I'll take it, because you just don't know, do you...

Wrote 30x -260 straddles for next week $6.1 each side, and have a sell limit for -c270's, but needs to recover back to 259 for that to hit

Has been a very profitable week indeed