Wiki Selling TSLA Options - Be the House

[Max Plaid]

OK, rolled the 120x -c210 up to -c230 for this week, lost $2 over the the profits on the original -c215's that were then rolled to -c210 last Friday

However, adds +$5 extrinsic, puts them over Max Pain and the call walls, and adds +$20 on the underlying LEAPs if I I decide to bail-out of the lot

This is what I didn't do in May, I waited, expecting a pull-pack, which took three months to arrive... might dump down to 197 now, who knows...

Edit: once again, I note that I have one week where I go "nuclear", all-in on calls or puts, do well, then go for it again, slightly more aggressive, and get screwed, this is a repeating pattern

So plan from here, ha ha, always a plan, right? Plan from here, if I can get out of these -c230's is to move to $2 weekly premiums, fly a little less close to the sun. $2 for newt week is c250, is that safe? Maybe not, but it's a level I'd be OK to sell some LEAPS and take profits, and likely not so hard to roll

Edit 2: and this is a risk with options - we saw the reversal starting on Friday AH, but of course there's no opportunity to trade options outside main hours, so that's always a risk... I suppose the only way around that would be to flip to day-trading options, which is something I have considered...

 

[MikeC]

With this volume, it feels like a reversal to me. Maybe they walked it down for the monthly expiration on Friday. Then it popped in after hours and continued to look strong today. I'm caught like a deer in headlights - too stubborn to take the loss on my -c225s or to roll for a 2.50 strike improvement, but also feeling like deja vu from all the other times I watched as my calls got run over in slow motion and I kicked myself for not taking the small loss or rolling aggressively. I also have 230/235/240 calls and puts in the 240s/260s/280s.

 

[Max Plaid]

With this volume, it feels like a reversal to me. Maybe they walked it down for the monthly expiration on Friday. Then it popped in after hours and continued to look strong today. I'm caught like a deer in headlights - too stubborn to take the loss on my -c225s or to roll for a 2.50 strike improvement, but also feeling like deja vu from all the other times I watched as my calls got run over in slow motion and I kicked myself for not taking the small loss or rolling aggressively. I also have 230/235/240 calls and puts in the 240s/260s/280s.

I think the manipulators were well aware that everyone was expecting a push down to 197, so they let the puts pile up, waited until some really low strike calls started appearing, then pulled the rug...

 

[Oil4AsphaultOnly]

Gonna sit this week out. If this is a dead cat bounce, then not a good time to sell puts. If this is the trendlines breaking, then not a good time to sell calls!

Opened a BCS on NVDA instead: 8/25 -500/+600c. Collected more in that single spread than 10x TSLA spreads!

If we know the manipulators are toying with us, then we can always choose NOT to play!

 

[juanmedina]

So what happened today? Yikes. The lowest covered call that I have now is $242.5 and I don't feel like getting trapped again .

 

[Tachyon]

To all fellow HODLERs
Do not despair
I thank everyone who post here and many technical analysts and EW proponents
Call me superstitious, ( which I tend to think I am not ) but the one chart that really been working for past 3 yrs is when I go on vacation
Tesla usually starts the run on Day 1 of my vacation and continues for a few days after the vacation ends
This has worked 100% of the times since January 2020
The magnitude of the spike depends on whether the vacation is with buddies or family( vacation with buddies tends to start a gamma squeeze) and vacationing with family a modest spike

October 2021- started spiking while on flight to Vegas enroute to Zion and gamma squeeze gave us ATH
May 2023-started spiking from 160 while on flight to Reykjavik and squeeze ended at 300

Guess what - vacation starts Monday - expecting a modest spike this time as it’s vacation with family .

Good times and tidings next week
We bounce
Not a trading advice
And I am the least superstitious and believe myself to be a very logical person of science

Day 1 of vacation
Too early to brag I guess.

 

[MikeC]

Day 1 of vacation
Too early to brag I guess.

I should have closed my calls when you posted!

 

[dl003]

Day 1 of vacation
Too early to brag I guess.

Brag on. I, too, have had bad memories of getting squeezed while on vacation.
December 2020 - 2 weeks Christmas break in a different state. Went from 600 to 900 pre-2nd-split
March 2022 - 2 weeks road trip with a friend. Went from 266 to 380.
June 2022 - 2 weeks summer vacation & friend's wedding. Went from 207 to 260
June 2023 - 2 months summer vacation in the same state as I was in December 2022. 184 - 300.

And these were the only times I've gone on the road in the last 3 years.

Should I have anxiety about vacations like Elon does? Right now I'm back home so it shouldn't be THAT bad. There could be a correlation between how our brain picks timing for vacation - right when everyone else also wants to close out their positions to enjoy theirs as well. As soon as the vacation starts, that's the low.

Anyways, I've stopped selling weekly calls since we hit 240. The price cuts took me by surprise but overall the down move was still contained within reasonable boundaries. I must confess I had a brief episode of anxiety as 218 got breached but there was still the support trendline and RSI was at an oversold level. The risks outweighed the rewards there. Even the bears say short the rally, not the hole. SPY came in an inch above my 430 target, also.

When we ran and ran in June on news of partnership with F and GM, I myself thought it was BS. The money just wasn't there to warrant the runup. Why should it be any different today? It really doesn't matter what caused it. All that matters is how buyers and sellers are positioned within the market. Calls were getting dirt cheap and even a few people here have noticed IV was at 52w low. Shorting there was a crowded trade.

 

[Tachyon]

I should have closed my calls when you posted!

No worries and do not despair.
We all can agree that TSLA will give us umpteen opportunities in both directions . Be patient and you will be rewarded.GLTA.

 

[BornToFly]

Pierre, the Daily Trader on Youtube, has a nice video about today. He says not a buy on the daily chart until it breaks the resistance at around 240 and his stochastic goes back over 60. Obviously headed in the right direction now, but need confirmation. (He is now my favorite TSLA TA guy)

 

[bkp_duke]

Brag on. I, too, have had bad memories of getting squeezed while on vacation.
December 2020 - 2 weeks Christmas break in a different state. Went from 600 to 900 pre-2nd-split
March 2022 - 2 weeks road trip with a friend. Went from 266 to 380.
June 2022 - 2 weeks summer vacation & friend's wedding. Went from 207 to 260
June 2023 - 2 months summer vacation in the same state as I was in December 2022. 184 - 300.

And these were the only times I've gone on the road in the last 3 years.

Should I have anxiety about vacations like Elon does? Right now I'm back home so it shouldn't be THAT bad. There could be a correlation between how our brain picks timing for vacation - right when everyone else also wants to close out their positions to enjoy theirs as well. As soon as the vacation starts, that's the low.

Anyways, I've stopped selling weekly calls since we hit 240. The price cuts took me by surprise but overall the down move was still contained within reasonable boundaries. I must confess I had a brief episode of anxiety as 218 got breached but there was still the support trendline and RSI was at an oversold level. The risks outweighed the rewards there. Even the bears say short the rally, not the hole. SPY came in an inch above my 430 target, also.

When we ran and ran in June on news of partnership with F and GM, I myself thought it was BS. The money just wasn't there to warrant the runup. Why should it be any different today? It really doesn't matter what caused it. All that matters is how buyers and sellers are positioned within the market. Calls were getting dirt cheap and even a few people here have noticed IV was at 52w low. Shorting there was a crowded trade.

Please, take another vacation. Just give us all a heads up.

 

[Jim Holder]

I called the broker, they see the issue, they said they didn't get confirmation back from the "market" on th cancel and they had to contact someone, I suppose the clearing house, or whatever...

So sorry this keeps happening to you—and on the worst days no less

Can you switch to a more reliable/stable broker? TD Ameritrade has been rock-solid for me.

 

[ReddyLeaf]

Day 1 of vacation
Too early to brag I guess.

Love, laugh, I can’t vote for both, but you definitely deserve both!!!!!

@Max Plaid said:

So plan from here, ha ha, always a plan, right? Plan from here, if I can get out of these -c230's is to move to $2 weekly premiums, fly a little less close to the sun.

And this thread will be much less interesting. We all enjoy reading your exploits, though cringe when you fly a bit too close, Icarus. Please, be safe out there and wear your fireproof suit.

Edit: I thought about selling CCs this AM near the $230 peak, but held back because of my “rule”, that I always seem to break, about waiting to sell options until Wednesday. This day I held firm, thankfully. I did, however, buyback as many CC LEAPs as possible. I’m now out of cash in one account. Watching and waiting in the other accounts until…….Wednesday or maybe even longer. This rally may run back to the channel top, which could be over $300. If so, I don’t want to be in front of this train. As always, be careful and GLTA.

 

[Max Plaid]

And this thread will be much less interesting. We all enjoy reading your exploits, though cringe when you fly a bit too close, Icarus. Please, be safe out there and wear your fireproof suit

Yeah, I keep trying to evolve to a more sensible and sustainable strategy, looking for a few weeks of the stock going nowhere to consolidate...

Dream scenario is to hold 10000 TSLA and a roughly equivalent amount of cash, then sell 100x $1 premium puts and calls every week - this is what I'm working on, but right now don't have much cash after the 3500 TSLA assigned the last few weeks, but working on it

BTW, that Cary guy was spot-on yesterday, I watched his video in the morning and he said $231.50 for the day on the upside

Here's his analysis for Tuesday:

 

[Bunky]

Agree, Cary from Wicked Stocks has been spot-on with channel top and bottom/levels.

Looks like continued strength in pre-market. I wonder if this is gonna be a big buy the rumor, sell the news on tech for NVDA earnings

 

[intelligator]

OI increased above and below yesterday's close, 225 to 232.5 being the middle ground. Will look to roll up -c215 at any sizable dip, maybe just outright buy back or wait out the news of the week and if no relief, let the 2x contracts execute.

 

[elasalle]

Sold 107 CC for 300 strike for 8 Sept(17 days) for .31and got 14 shares with the proceeds .....
usually doing leap CC's, but this is against a bunch of calls I am willing to let go at 300+ (+ or roll ..)

 

[Max Plaid]

Sold 107 CC for 300 strike for 8 Sept(17 days) for .31and got 14 shares with the proceeds .....
usually doing leap CC's, but this is against a bunch of calls I am willing to let go at 300+ (+ or roll ..)

Seems like a lot of free shares to me, for a very low risk...

 

[elasalle]

Seems like a lot of free shares to me, for a very low risk...

Many drops make a ocean ...
so as long as SP stays in range I hope to rinse repeat weekly, bi-weekly.
Enough shares acquired -- they go to OPM piggy bank. SP drops, convert them back to Leaps .... modus operandi
+ in fact 60-80% of these calls against which I am selling these CC's were acquired the same way
had closed for $2 (Jan 24), so now I have $1.7 for break even .....

 

[dl003]

XPEV reported better than expected earnings. Considering the main reason pulling TSLA this far down is concerns regarding China economic data, this looks like a sweet spot for, at least, a DCB. TSLA almost touched the lower uptrend channel on Friday with daily RSI touching 30. This indicates a bounce was more likely than not, looking at past price actions. This is not a FOMO rally so I don't think the mid September timing is relevant here. The drop from 298 was very aggressive which accelerated the potential pivot.

I'm not saying 212 was the bottom for good, but if we see another spike tomorrow to take out 230, I think we're in for a bigger DCB, at the minimum. Same scenario as when I made the 250 bet earlier this year, just on a smaller timescale.

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Wave 5 was confirmed and extended. A clean signal here. The consolidation zone is going to be 223-227.