What a weird day... I thought the reaction to the CPI was overblown, then the reversal totally counter-intuitive, but I guess that's the way the manipulators set it up - wipe out this week's calls, entice a load of puts, then wipe them out too!
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Wiki Selling TSLA Options - Be the House
- Thread starter adiggs
- Start date
Today I sold ATM 10/14 -225c for $2 , let the MM play their games. Either direction, can expire worthless, can roll if I need to or have the lesser cost shares called away.
Decided that since we're at least up a little bit to sell 235 strike cc for next week on these b/w shares. A little under $5 credit along with a $5 higher strike price.I was able to close 230cc for this Friday at .65 (down from 1.25 or so from yesterday close) despite the share price being up about $5 when I closed. Too bad I slept so well last night - if I'd been up with the market open I'd have had a much better close. NOTE: I prefer the sleep
In for $4, out for .65. Previously earned $2.
I'm very comfortable continuing to sell 230 strike cc - if my timing works well I'd like to pick up some strike to strike gains as well, though that's not a priority.
Mostly I wanted at least 1 position open that will benefit from another leg down as my DITM puts, long calls, and shares are all going to be benefiting should we continue upwards. I expect more of a flat to downward move due to macros.
For earnings I'm thinking that we might see some specific and detailed enough information from the company to at least partially counter the "logistics problems / can't deliver cars / ..." from the production report. I don't see a "too the moon" type of reaction, but even a move back up into the 250ish range would be welcome and I think not unreasonable.
That'll most likely see the b/w shares go back into cash, but that'd be a good thing, for me, as well.
I played this exactly the opposite I had played it at the news of the Ukrainian invasion. In February I got spooked at the -5% premarket then got liquidated on margin call when we reached -8%. Then it recovered to green at the end of the day.
So today I closed my CCs with 90% profit at the open, waited for the recovery and sold more CCs when we were green.
I would have loved to have the extra margin to sell puts at open but I my hands are tied to my margin and can only play the Covered Calls side till 2024.
Relatively happy.
today's High=222.99, 1 cent shy of that 223 again
today's Low is EXACTLY 206.22, the 52-wk Low
perhaps we are in a rigged casino?
We are playing Poker against Casino however they know our hands.
My theory today is that a load of shorts took the opportunity to cover after the initial dip, which caused the sudden reversal and then a bit of panic with other shorts leading to a mini-squeeze
There was no good news, the CPI was pretty bad, dead-cat methinks, who knows
There was no good news, the CPI was pretty bad, dead-cat methinks, who knows
Oh, you would use such terminology.dead-cat methinks, who knows
Why can't it be a dead-dog bounce? Or a dead-squirrel?My theory today is that a load of shorts took the opportunity to cover after the initial dip, which caused the sudden reversal and then a bit of panic with other shorts leading to a mini-squeeze
There was no good news, the CPI was pretty bad, dead-cat methinks, who knows
Why all the hate for cats!?!?
Oh I love cats.Why can't it be a dead-dog bounce? Or a dead-squirrel?
Why all the hate for cats!?!?
But I couldn't eat a whole one...
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The only time cats bounce is when they are dead, otherwise they land on their feet.Why can't it be a dead-dog bounce? Or a dead-squirrel?
Why all the hate for cats!?!?
Dogs and squirrels need not be dead to bounce.
Dog bounce doesn't carry the same fatal connotation.
My theory today is that a load of shorts took the opportunity to cover after the initial dip, which caused the sudden reversal and then a bit of panic with other shorts leading to a mini-squeeze
There was no good news, the CPI was pretty bad, dead-cat methinks, who knows
Don’t forget, we are all expecting the stock market to go down, everything looks grim and bad. Everybody is starting to buy protective put because we are surely going to zero. That’s exactly when the opposite happens
BrownOuttaSpec
Active Member
When did we hit $206.22?? 2 cents doesn't really matter but I was showing $206.24 in my post earlier this morning at 9:33am and the stock only went up from there. Weird, right?
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Of course, can you imagine all those puts waiting to expire worthless? Plus today, dump markets for a few minutes, wipe out a load of calls for tomorrow, everyone rushes to buy puts, shift to reverse!
Fooled them once, fooled them twice, fooled them every time...
Maybe we're finally starting to see capitulation in action. Maybe.
I think the dead cat has legs for one more dayMy theory today is that a load of shorts took the opportunity to cover after the initial dip, which caused the sudden reversal and then a bit of panic with other shorts leading to a mini-squeeze
There was no good news, the CPI was pretty bad, dead-cat methinks, who knows
. Not sure how we finish but I think we see a day two of this short squeeze or whatever we want to call it. I think this was as close to capitulation as we can get, volume in particular was impressive to suggest the theory of capitulation.
Rebound from 52-week low on high volume today - maybe CPI was a “sell the rumor, buy the news.”
I’m getting more optimistic about a run-up into ER, but maybe that’s just my now deep OTM short-term long calls talking.
All puts and BPS rolled out to 11/18 - 1/2023.
I’m getting more optimistic about a run-up into ER, but maybe that’s just my now deep OTM short-term long calls talking.
All puts and BPS rolled out to 11/18 - 1/2023.
It takes courage to be short the stock next Wednesday; with Tesla there’s always the chance of a positive surprise. So I expect (hope) the stock will start crawling out of this hole a bit next week as shorters take some chips off the table.
I took the morning up/down action as a chance to buyback/roll some -c230s to 10/21 c240s @ $3.50. Also timed and rolled down some 11/04 -p250s to 11/04 -p245s for pennies in another account. Was planning to roll down some CCs to pair, but had to get to a meeting, so will try that tomorrow or next week. I hope everyone is ok and didn’t get scared or margined out. Today’s action pretty much proves hedgies manipulation to tag the year’s low. I missed the low (sleeping like adiggs), but would rather keep the cash (and I’m sure there will be more chances). GTA
scubastevo80
Member
The stock
Does the dead cat have legs to like $290 by the end of next week? Need to start thinking about my 293.33/260 that expires next week.I think the dead cat has legs for one more day
I think this was as close to capitulation as we can get, volume in particular was impressive to suggest the theory of capitulation.
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