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Is the CFE pretty easy?
Welp, see yeah later KFC!
Openings at VMware interested please DM
Free my boy!
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How are the big 4 holiday parties down here?
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$2k into XLV or VHT?
Newbie to investing and never invested in a company that went through a reverse stock split.
In theory, I understand the market value should increase but I’m not seeing this reflected in the price and naturally my book value/ share is very disappointing.
A) When should I anticipate the stock appreciation to occur?
B) What’s the next move for companies that do this? Issue more shares?
TIA!
https://finance.yahoo.com/news/retransmission-hive-blockchain-announces-5-100000300.html
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Anyone else into idex, zom and Mara?
RECAF - huge potential upside any takers?
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Red red red
Anyone else following Rocket Lab’s debut today?
Thoughts on Fiverr
not a lot of action in today’s stock market.
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Weeklies give the best returns.
30-35 delta gives you the best balance between income and assignment risk. For for a 16 delta contract if you’d rather keep the stocks. I think a 30 delta stock should get assigned for sale about 1-in-4 times. The 16 delta stock is about a 1-in-6 chance of assignment.
Sometime between Thursday afternoon and Friday noon against the next week’s contract is actually the best time to sell since you get the premium for theta decay on the weekend. Of course it’s a balance since the new contract’s price will push out most that theta decay through the day on Friday, but the old contract sees significant theta decay as well.
Other ther tips:
1) don’t sell calls the two weeks ahead of earnings or the week of dividends
2) try to sell on an up day. Many of the common CC stocks fall on Friday morning and then rally midday and screw the retail investor playing this game / at least it feels this way
3) Rolling doesn’t always make sense. Often you’re just moving the contract but not able to get more premium. Sometimes it’s better to just take the assignment and look to renter the position down the road
4) If you can buy back the call and keep 70+% of the premium by Wednesday, do it. You can make a decision on writing a new call or not, but the value of the original contract is low compared to the risk of a rally and assignment
5) if you can write multiple calls on a position consider staggering them so that you don’t risk assignment on the position or can take advantage of big movements in stock.
Covered calls should be additive to the position, not the main source of returns. Over the last few months I’ve gotten to the point where I usually don’t write calls on the whole position but maybe only half. I’ve gotten burned on some large gaps up that blew up my thesis and turned great trades into fair ones. At the same time a cover call strategy helped mu cut my losses on a stay at home play by 30% a few weeks ago. So it’s a useful tool, but don’t think it’s just a simple printing press for money.
Great tips!
Got a few hundred shares of a stock and think I can make like $100 selling some out of money calls that expire in a week. And will just continue that each week for most weeks.
What stock?
If you have a stock position that isn't on a tear, you should be selling calls weekly. How close to ITM you sell depends on how bullish you are on the stock.
I have round lots in mostly big tech like baba and msft.
I’m trying to accumulate 100 shares of financials to sell covered cals. Dividends and premiums should provide good passive income
I am starting this with NIO and PINS.
My normal RH account.