Tesla, TSLA & the Investment World: the Perpetual Investors' Roundtable

[LN1_Casey]

Is selling something like a 600P Jan 22 for 15K a bad idea?

If I had the margin, I'd do it. But alas, I do not.

*I will add also that it'll either tie up your cash/margin for the duration, or until you sell. So I use to be able to sell weekly puts near the SP, but since selling a Jan 22 put, I don't have enough equity to do so. So just keep it in mind if you like to play with options.

 

[Skryll]

My accountant just called and broke my buying spell. She said I owe the IRS some money and which account did I want to take it out of. Lol...really?

Guess I better go find some cash to put in the checking account since right now it's just full of dust.

I studied my 2020 1099 today as well

 

[elasalle]

Greed to Fear ..
....Fear to Greed

 

[dl003]

Is selling something like a 600P Jan 22 for 15K a bad idea?

Personally, I've found that spending your margin on DITM LEAP calls while selling weekly CCs against them is a lower risk & higher reward play.

 

[lklundin]

We didn't get as low or as fearful as I was hoping but the volume has been encouraging across the board

Well for perspective, less than 6 weeks ago the intraday ATH was 50% above today's low.

Even for Tesla, that's pretty good.

 

[Prunesquallor]

Reports of threatening competition from VW seem exaggerated.

Yeah, when a car can’t find it’s own charging network...

 

[Sofie]

Buy 100 shares now or wait until tomorrow? Decisions decisions

 

[EVMeister]

Buy 100 shares now or wait until tomorrow? Decisions decisions

50 now, 50 tomorrow?

 

[asburgers]

Is selling something like a 600P Jan 22 for 15K a bad idea?

Personally, I've found that spending your margin on DITM LEAP calls while selling weekly CCs against them is a lower risk & higher reward play.

I agree with dl003. IV on the Jan22 600P is only 70.8% so by no means selling high. I personally look for deltas between 0.18 - 0.25 on cash secured puts...and only with short expiry to have the theta god on my side. This is not advice.

 

[elasalle]

Is selling something like a 600P Jan 22 for 15K a bad idea?

Great if it doesn't go below 500. If SP recovers, you will have to be content with 15K profits, regardless of how high SP goes....and cost of PUT might not decrease as expected.(happened to me ..)
However, when SP is low, time to also increase leverage buying calls.
Great idea though if Portfolio is already heavily skewed to TSLA.

 

[lklundin]

What's your secret?

His wife's name is Cathie Wood?

 

[Tyler34]

I agree with dl003. IV on the Jan22 600P is only 70.8% so by no means selling high. I personally look for deltas between 0.18 - 0.25 on cash secured puts...and only with short expiry to have the theta god on my side. This is not advice.

You should see the theta on these 830puts I sold that expire in a few weeks

 

[Unpilot]

I’m in a room full of rookies — again.


Just return your invasion supplies.

Ha see this is where my plan is so brilliant.
I get a 10percent employee discount on stuff.

Lots of carabiner and rope and ...other stuff.

In other words party is still on...at your place.

 

[hobbes]

Reuters - 3 hours ago: New Caledonia agrees to Vale nickel mine sale, Tesla to be partner

Excerpt:

The deal signed by pro-independence and loyalist leaders in the French Pacific territory also cited a “technical and industrial partnership” with Tesla, under which the electric car company would source raw materials for batteries.

This looks promising. Also in the article:

New Caledonia is the world’s fourth-largest nickel producer.

And from wikipedia:

New Caledonian soils contain about 25% of the world's nickel resources.

EDIT: Also from wikipedia:

Goro mine, is one of the largest hydrometallurgical process plants constructed, estimated to cost $3.2bn, with a design capacity of 60,000 tonnes of nickel per annum. (...) The major share in the Plant is held by a consortium with Vale Inco (of Brazil) holding a 69% share and a joint company called Sumic Nickel Netherlands, Japan's Sumitomo Metal Mining Co. Ltd., and Mitsui Co. Ltd., holding 21%.share. However in 2020 Vale is in the process of selling all of its interest to New Century mining.

This seems to be the place. Now we have to find out how many car batteries 60,000 tonnes of nickel can make and what share Tesla is getting...

EDIT 2:

“For those who don’t know there’s 50kg of nickel in that [Tesla] battery,” Mincor Resources (ASX:MCR) boss David Southam told attendees at the WA Mining Club’s monthly luncheon on Thursday.

So 60,000 tons would be enough for 1.2 million cars. Not too shabby. Still have to keep in mind that this is design capacity and we don´t know if Tesla gets all of it, but gives a general idea.
Fun fact - a single Tesla battery needs 50kg of nickel... and we'll have to find a crapload more - Stockhead

 

[asburgers]

You should see the theta on these 830puts I sold that expire in a few weeks

Don't worry, we're in the same gang. I had to close out some 760Ps prematurely. Ouch.

 

[dl003]

You should see the theta on these 830puts I sold that expire in a few weeks

Tell me about it. I was happy to get assigned share at 750 until we hit 620. Perspective, amirite?

 

[corduroy]

Personally, I've found that spending your margin on DITM LEAP calls while selling weekly CCs against them is a lower risk & higher reward play.

I sell bi-weekly calls against my DITM leaps. My goal when they get close to expiration is to have a $0 cost basis calls, if I haven't sold by then.

 

[juanmedina]

I agree with dl003. IV on the Jan22 600P is only 70.8% so by no means selling high. I personally look for deltas between 0.18 - 0.25 on cash secured puts...and only with short expiry to have the theta god on my side. This is not advice.

this would be naked puts. IV30 is 81. Yeah I wish IV was higher.

Thanks everyone

 

[dl003]

Ha see this is where my plan is so brilliant.
I get a 10percent employee discount on stuff.

Lots of carabiner and rope and ...other stuff.

In other words party is still on...at your place.

I fear the bottom is not in yet, not even close.
Folks are still bumbling and doing poetry even.

 

[ZeApelido]

View attachment 642070

I thought my wife was the only one who sends this meme to me!