Posts
Understanding buying an option below market
I’d like to understand why one would buy an option below the current market price. Ie the stock is trading at $5.50 and I see I can buy a call option at $5.00 at a premium of .20 cents a share effectively paying 5.20 a share.
Microsoft Option
Why is Microsoft option value going down? I thought this was a stable one
Recently down on my luck and want some help
Fairly new trader here. I turned $600 into 7.4k over the course of a couple months and between last Thursday to Today ive lost 5.4k. Im re-evaluating my strategy and want to know what type of data you guys use for your options. Long term id like to get into …
TSLA puts/short
I am in the mood for a little gambling. Buy or sell puts? Betting on a competitor? What are your best strats for shorting TSLA or capitalizing on all the bad news surrounding Musk?
This trader placed a $140k bet that the market is going to tank this week.
Last week, I posted this: [https://www.reddit.com/r/options/comments/1iv31ua/](https://www.reddit.com/r/options/comments/1iv31ua/) I saw this trade hit the tape, which its peak was worth 900%+ more than it's entry. 1DTE on a 2% pullback overnight on the $SPY. Friday was a bloodbath, and these got paid. https://preview.redd.it/a39tras3s3le1.png?width=808&format=png&auto=webp&s=81cca44dafab981a678e449a703daa76eafd4a82 I saw a similar trade this morning, not quite …
Cheap Calls, Puts and Earnings Plays for this week
## Cheap Calls These call options offer the lowest ratio of Call Pricing (IV) relative to historical volatility (HV). These options are priced expecting the underlying to move up significantly less than it has moved up in the past. Buy these calls. | Stock/C/P | % Change | Direction | …
Saw another big whale betting big on a correction this week.
Last week, I posted this: [https://www.reddit.com/r/options/comments/1iv31ua/saw\_a\_trader\_turn\_175k\_into\_12m\_in\_60\_minutes\_on/](https://www.reddit.com/r/options/comments/1iv31ua/saw_a_trader_turn_175k_into_12m_in_60_minutes_on/) The night before, I saw this. Some trader slammed $200k in 1DTE (overnight) puts. These were worth 900%+ at their peak. I managed to 4x. https://preview.redd.it/dnhf2z78q3le1.png?width=805&format=png&auto=webp&s=96bbce14de78ea6c4111c74c3895d6ddada91ecd This a.m., saw a similar flow. Got in on this one also. https://preview.redd.it/0ka1ymlbq3le1.png?width=813&format=png&auto=webp&s=b55d1c70b861b071cedd5757ff97966f2b4f86a5 This is post-NVDA, $134k betting …
Nvda
Maybe a dumb question.. I have a nice chunk of NVDA I’ve been buying for a few years. I don’t mess around with options just kinda buy and hold. Thinking about hedging some puts / calls etc for earnings. Have any of you had success doing this. Not sure the …
20k-1 million update
Full account update. Day 1 - $20,000 Day 389 - $61,500 Covered calls should all start paying soon. Had to roll roll roll, now we see a downturn and we collect collect collect. Don’t get caught up in the short term. The account is up from 20k-60k in just a …
Better to sell or exercise a Put?
I have a put that is timed to exercise tomorrow. I'm ALREADY ITM, but am confident the stock will keep going down tomorrow as well. Is it better to sell it now and take profit or let it exercise tomorrow for more profit?