Wiki Selling TSLA Options - Be the House

[Max Plaid]

Added 20x 1/26 -p270 @$27.1 to my mega 1:5 ratio-straddle, so now have: 40x -p270 @$24.6 / 200x -c270 @$8.25

Other than the whole lot finishing OTM, preference would be for the calls to be ITM, but the puts are full cash-covered too, plus I'm still holding the March 100x +p200's

 

[Max Plaid]

For the experienced rollers out there, any advice on these positions, especially the Jan 250s? They are about double what I paid for them. I did anticipate having to roll, just not sure to where.

Guess i'm looking at July 350 @ 9.70, or Sept 380 at 10? Or be more conservative and play it closer?

Personally I'd just keep rolling them out, wait-and-see a bit

 

[BornToFly]

Back OT - I'm still sitting on my hands for most CCs. Either we get a pop later today, or I wait until tomorrow. If tomorrow is still flat, I may just sell for next week for more Extrinsic.

I wasn't brave (smart) enough to sell at the open like Yoona

 

[Yoona]

today's million-dollar trades are ~260

 

[Yoona]

TSLA is the best amongst M7

 

[OrthoSurg]

How would people react if Apple sells new iphones for a 25% premium for the first couple of months ... because they can ? That will kill the buzz (any that is left). You want everyone to feel to be part of the crowd ... I'm not sure Tesla is managing their brand all that well. Every company has to balance immidiate cash flow vs long term brand image.

As far as I know iPhones now have a Pro and Pro Max tiers and bigger memory size that brings the top tier in the near $2k for a phone that has existed now since 2007. When I look at AAPL, investors seem to like that selling tactic VERY much.

as far as option goes, if I sell poor man’s covered calls against June 2026 300 strike calls I bought when SP was in the $200, will it have effect on my margin? If SP rockets +1000% I Guess I just roll them up and out over my LEAPS strike price, but what happens if you sell a CC under a LEAP SP, what’s the potential effect on margin? Thinking about selling monthlies CCs like @The Accountant

 

[thenewguy1979]

You guys know what happen the day after a big market dump.........a 50% chance of green day tomorrow.
Don't need years of TA to make that prediction.

Algo is Bullish too

 

[thenewguy1979]

Algo is also bullish on AAPL

edit - I think it is broken....

 

[thenewguy1979]

The iPhone was 50% more expensive the first couple months it came out.

The Signature Model S was maybe 30% more basically just for a unique paint color and early release.

If the market is willing to pay a premium to early adopt the newest tech, why would any company let that go to scalpers?

IPhone Owners Crying Foul Over Price Cut - The New York Times https://www.nytimes.com/2007/09/07/technology/07apple.html

On topic, still holding CCs this week from 240-255 and a couple -p250. Last week I moved strikes up 2.50 per contract and netted about $0.65 credit per ITM contract rolled.

Still holding those 240-255 calls? I thought I was getting close with the 255 and unload them earlier for a little kibble.

I would be careful because today Tesla SP is being held down mainly by Macro. If Macro reversed those calls can be deep ITM.

 

[MikeC]

Still holding those 240-255 calls? I thought I was getting close with the 255 and unload them earlier for a little kibble.

I would be careful because today Tesla SP is being held down mainly by Macro. If Macro reversed those calls can be deep ITM.

I've already accepted that I could be forced to sell shares around this level, meanwhile I'm just rolling for premium (and strike improvement when available) and if they happen to expire that would just be a nice bonus.

 

[Max Plaid]

TSLA is the best amongst M7

View attachment 1005091
View attachment 1005103

EV stocks hammered...

 

[DaBooster]

EV stocks hammered...

View attachment 1005106

TSLA holding up very well considering....

 

[thenewguy1979]

I've already accepted that I could be forced to sell shares around this level, meanwhile I'm just rolling for premium (and strike improvement when available) and if they happen to expire that would just be a nice bonus.

Overlooked the CC parts. Getting paid to sell shares must be a great feelings. Then coupled that with Selling Puts using those incomes to get paid for buying back those shares at a lower prices

Missed the chance of buying 100 shares for $150 back in early 2023. I was getting to know our buddy “Option” and that made me the silly looking dog I am today. Let say it was some expensive lessons.

Back on Topic, I dont think we will break 260 this week. Holding on to any further action till we see what happen to the Market tomorrow. My feeling is we go green but the bleeding today seem super extended.

 

[BornToFly]

I opened +195/-225 BPS for Friday. A little close to the sun, but didn't sell too many so I can roll and increase number if necessary. I don't see Macro this red all week.

 

[BornToFly]

How many -2% QQQ days were there last year? What happened the day or two after?

(paging Yoona....)

 

[StarFoxisDown!]

TSLA holding up very well considering....

Will be interesting to see if TSLA's relative strength is simply options related for max pain this week. We've seen this many times before where TSLA holds up against a macro selloff but then loses that strength the next couple of days as either macro's recover and TSLA does nothing or TSLA goes down much farther than it's beta against the macro's.

Main reason it seems for this dynamic is simply getting the put holders to close out the nearest Put Walls after which the stock goes into its sell off. The P/D numbers weren't good enough for me to think the stock will hold up against a macro sell off. Will also be interesting to see how far this macro sell off goes before we get the next round of inflation/economic data.

https://x.com/truflation/status/1742168868507004984?s=46&t=QUpPTwZA6HxarZEnzD7-rw

Trueflation, which has very much gotten the trend of inflation correct, shows another big drop in the inflation very recently throughout the entire month of Dec. The next set of inflation data could come in very cold if Trueflation has once again gotten Dec trend correct. So to me, the question, how far can Wall St push everything down before Wed of next week. Dec inflation data very much could dictate if Fed actually drops rate in March, regardless of economic data.

The other thing to take into account is that while Truelfation has gotten the trend right, since the data inputs are different/more real time than the Fed's, big drops like seen in Dec might show up more in inflation prints on Feb 13th. Or even half in Feb print, other half in March print. If there's a decent correction/rug pull here in Jan, I'll be flipping to a very bullish play

 

[thenewguy1979]

One of the key things I learned from my "expensive lesson" is to grow some big balls. Panic Selling/Closing can be your worse enemy.
Many times I have turned a winning hand to a losing hand due to my small balls....I know DI003 is staring at me now

That doesn't mean going gung ho till you hit zero, just before bailing out give yourself some times to re-think the strategy.

Yep - that one of my goal in 2024 is to grow some big balls....not sure how big can fit on my small doggy frame. JK

 

[Jim Holder]

An example of scalping CC's throughout a day's volatility, even smallish amounts add up: Today's tally=$4,490
No need to chase and risk, small and steady still wins decently!

PS Before I BTC a scalping CC I open a new GTC order for the same position with the original STO price (or better if trend is going back up) and let it sit in the hopper. 70% of the times it hits at some point and I ride it again.

 

[dc_h]

I've already accepted that I could be forced to sell shares around this level, meanwhile I'm just rolling for premium (and strike improvement when available) and if they happen to expire that would just be a nice bonus.

I believe there is a gap about $238, so maybe you have the best position possible.

 

[Jim Holder]

not sure how big can fit on my small doggy frame. JK

I'm enjoying the spirit you bring to our corner of the forum here. A bit of cheer and fresh air is always welcome. Thank you.