Wiki Selling TSLA Options - Be the House

[thenewguy1979]

Market pumping back up. AAPL trying to go back to green paring the early losses.

Side question - anyone doing credited put or call? Or just covered call and option. Doggy brain think it an alternative for selling option but without having stock or full margin, but rewards are also much smaller.

 

[thenewguy1979]

You've got to be kidding me! Limit STO for 50x -p220 @$6.1, high price $6.09 - ever feel you're being f****d with?

That happen to me when I 1st learn about option. Choose market order. Option closed at lowest possible order values. Dumb me learned some lesson afterward

 

[tivoboy]

You've got to be kidding me! Limit STO for 50x -p220 @$6.1, high price $6.09 - ever feel you're being f****d with?

i’ve posted this before and up a few pages, but yeah clearing houses and MM SEE EVERYTHING… exactly what amount of interest is at what price. Limit orders have their place, but when one is really trying to thread the needle, then putting in a short duration limit order AT a limit price tends to get the amount. YMMV.

But yes, it’s very rigged in some stocks in some instances at some times. Vague enough?

 

[Jim Holder]

i’ve posted this before and up a few pages, but yeah cleaning houses and MM SEE EVERYTHING… exactly what amount of interest is at what price. Limit orders have their place, but when one is really trying to thread the needle, then putting in a short duration limit order AT a limit price tends to get the amount. YMMV.

But yes, it’s very rigged in some stocks in some instances at some times. Vague enough?

That’s what I do, I set a limit price at my reasonable desired entry/exit and wait. Nine out of ten times it executes.

Rolling is a different story and I do the legs separately after too many “waiting for last 1” to clear while the market moves away from where I wanted it.

 

[Cherry Wine]

Market pumping back up. AAPL trying to go back to green paring the early losses.

Side question - anyone doing credited put or call? Or just covered call and option. Doggy brain think it an alternative for selling option but without having stock or full margin, but rewards are also much smaller.

This thread was big on spreads back in 2021(?). Some people, including myself, took it in the shorts. (God, has this thread really been going that long already? Time flies.) Anyways, I'm personally pretty cautious with spreads these days - I use them sparingly, usually more for debit trades than credit trades, and NOT to increase leverage, but moreso limit exposure.

 

[Max Plaid]

That happen to me when I 1st learn about option. Choose market order. Option closed at lowest possible order values. Dumb me learned some lesson afterward

i’ve posted this before and up a few pages, but yeah cleaning houses and MM SEE EVERYTHING… exactly what amount of interest is at what price. Limit orders have their place, but when one is really trying to thread the needle, then putting in a short duration limit order AT a limit price tends to get the amount. YMMV.

But yes, it’s very rigged in some stocks in some instances at some times. Vague enough?

I don't have an "at market" possibility for opening positions, only for closing - no idea why TBH

Now obviously you can emulate a market order by setting your limit above the current bid, then it will essentially sell for the best price available at that moment

But but but, I don't want to sell at market, I want $6.1 or they can stuff it (well at least until later in the day)

Edit: I decide on the strike and expiry I want, then model it in OptionStrat, which gives the expected premium at various times of the day and SP prices, and I pick what I think it a likely dip or pop in the stock that yields a premium which I consider to be worth the trouble

Of course this is all subject to IV, which changes constantly, so the pricing isn't always spot on, but it's broadly correct and 9/10 when I set an STO limit I just need to be patient and it eventually hits, sometimes takes several hours, unless it look hopeless, then I'll adapt it a bit based on the intra-day support and resistance points

And just to add, sorry for so many posts this week - I'm off work and we were supposed to go to Copenhagen, but due to a family illness it got cancelled, so I've lots of free time

 

[Max Plaid]

This thread was big on spreads back in 2021(?). Some people, including myself, took it in the shorts. (God, has this thread really been going that long already? Time flies.) Anyways, I'm personally pretty cautious with spreads these days - I use them sparingly, usually more for debit trades than credit trades, and NOT to increase leverage, but moreso limit exposure.

Conclusion, don't do it, or if you do do it, be very, very, very careful. Some folks here lost $millions on put spreads end 2021 through 2022

 

[OrthoSurg]

Conclusion, don't do it, or if you do do it, be very, very, very careful. Some folks here lost $millions on put spreads end 2021 through 2022

Just make sure the max loss of a spread creates a 5% loss of the overall portfolio.
Not the max loss disappearing with 100% of the portfolio like we did .

 

[OrthoSurg]

Remember: I never said we will dump to 140. I only said it's a possibility in the event of a hard reject at 240.
With that in mind:

a. 194 was the bottom
b. We're running up in a clear 5 wave impulsive fashion
c. I believe we just hit the highest range possible for this first leg
d. There will be a second leg after a few days of consolidation. Maybe target the 210 gap test
e. Please don't ask me how I'm positioned for this coming week

e. I don’t ask how you are positioned. I just blindly follow everything you say without ever questioning .

 

[Cherry Wine]

e. I don’t ask how you are positioned. I just blindly follow everything you say without ever questioning .

I love this thread.

 

[Jim Holder]

I don't have an "at market" possibility for opening positions, only for closing - no idea why TBH

Now obviously you can emulate a market order by setting your limit above the current bid, then it will essentially sell for the best price available at that moment

But but but, I don't want to sell at market, I want $6.1 or they can stuff it (well at least until later in the day)

Edit: I decide on the strike and expiry I want, then model it in OptionStrat, which gives the expected premium at various times of the day and SP prices, and I pick what I think it a likely dip or pop in the stock that yields a premium which I consider to be worth the trouble

Of course this is all subject to IV, which changes constantly, so the pricing isn't always spot on, but it's broadly correct and 9/10 when I set an STO limit I just need to be patient and it eventually hits, sometimes takes several hours, unless it look hopeless, then I'll adapt it a bit based on the intra-day support and resistance points

And just to add, sorry for so many posts this week - I'm off work and we were supposed to go to Copenhagen, but due to a family illness it got cancelled, so I've lots of free time

What’s your feeling about next week direction—up, down, flat?

 

[Max Plaid]

What’s your feeling about next week direction—up, down, flat?

Would you be upset if I said "I have no idea"? I suspect bouncing between 210 and 220, not sure there's any big catalysts, but I see there are a lot of FEDiots "speaking", if they're all dovish like JHole then markets might like it...

I think it's a bit too early for the CT event to start lifting the stock

 

[thenewguy1979]

was waiting for SPY to break 436 all day. Sold at 435.75. I'm done. crazy week. made it out alive.

 

[Jim Holder]

Would you be upset if I said "I have no idea"? I suspect bouncing between 210 and 220, not sure there's any big catalysts, but I see there are a lot of FEDiots "speaking", if they're all dovish like JHole then markets might like it...

I think it's a bit too early for the CT event to start lifting the stock

Makes sense. There was a seller in the crowd whenever it got over $220-221, pinning to $219.

@dl003 's chart seems to be pointing to $213-$214 around Tuesday next week, with a finish back up here at low $220's by Friday.
Then back to $210'ish early the following week and back to $217 area.

This implies that -C230 and -C235 are likely safe for next week.

 

[Jim Holder]

Cool seeing QTA options/gamma based range zones work several times this week, including today (below). Curious what it'll show Monday morning.

Puts fell off dramatically for next week leaving TSLA call heavy (11/10):

Conversely, calls fell off dramatically and put dominate for 11/17

 

[Cherry Wine]

Cool seeing QTA options/gamma based range zones work several times this week, including today (below). Curious what it'll show Monday morning.

View attachment 987642


Puts fell off dramatically for next week leaving TSLA call heavy (11/10):

View attachment 987644


Conversely, calls fell off dramatically and put dominate for 11/17

View attachment 987646

Just FYI I appreciate you posting the QTA levels. Cool datapoint.

 

[SAPharmD]

Cool seeing QTA options/gamma based range zones work several times this week, including today (below). Curious what it'll show Monday morning.

View attachment 987642


Puts fell off dramatically for next week leaving TSLA call heavy (11/10):

View attachment 987644


Conversely, calls fell off dramatically and put dominate for 11/17

View attachment 987646

Why would puts dominate the week of 11/17? Seems kind of odd to go from such a large shift in a week from 11/10 to 11/17?
Maybe people not yet updating their calls/puts for that week yet and this one was made last week?

 

[tivoboy]

Looking at Nov 23 weekly 10x +P210 for ~ 4$
may sell same 10x -p195 for ~$1.5 to offset. I like a 7x spread…especially when I’m looking to accumulate.

 

[Jim Holder]

Why would puts dominate the week of 11/17? Seems kind of odd to go from such a large shift in a week from 11/10 to 11/17?
Maybe people not yet updating their calls/puts for that week yet and this one was made last week?

I think a mix of your reason and since 11/17 is a monthly expiration, they may be older positions hanging around.

Here's 11/24 which used to be put heavy and is now call heavy, prolly CT bid:

Here is 12/1. Keep in mind these can shift quickly as sentiment/market changes and as we get closer to the date:

 

[dl003]

Makes sense. There was a seller in the crowd whenever it got over $220-221, pinning to $219.

@dl003 's chart seems to be pointing to $213-$214 around Tuesday next week, with a finish back up here at low $220's by Friday.
Then back to $210'ish early the following week and back to $217 area.

This implies that -C230 and -C235 are likely safe for next week.


View attachment 987641

Timing is iffy. This is voodoo. Only 2 levels 210 and 240 should be taken seriously.