selling RIOT covered calls is literally a cheat code - even way out the money are still a clean 1% a week

likesmart
Posting as :
works at
You are currently posting as works at

It works until it doesn’t

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The Delta is the move the option makes for every dollar the ticker movers, adjusted by theta and the other Greeks. The 43 right now for the 20th is a 19 delta. It is roughly the percentage chance the option will be in the money at expiration.

I'm selling the 37 for the 20th and buying the 37 in October to learn more the ticker.

With earnings Monday I'll expect a move one way or the other.

I sell CSPs on MARA and RIOT

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Thanks for the idea. I'm going to open a small position to learn this ticker. 37 C calendar, AUG 20, OCT 15.

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U, the profit comes from selling the short calls, the long just provides a cover to minimize capital. Bene if the ticker rises,but this is a theta trade, not a delta trade.

Only do CSPs on the stocks you want to hold longterm. Wheels can be sometime Yoloed on high IV stocks.

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🤝

OP,

RIOT hasn't moved much since you shared this so my calendar is up 30% in a few weeks. Just sold a strike $1 higher. Thanks for the idea.

I'm doing the same on MRNA since it pulled back. Using the 420 strikes for the calendar. Working well. Thought I'd share back at you.

appreciate the follow up and glad that it’s working well for you - cheers

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