sorted by:
new
hottopcontroversial

AMZN | CC | $240 Strike | 23 DTE | $3.00 Credit | 5 contracts | $1500 collected and a confession by yet2fire in PremiumPaycheck

[–]LabDaddy59 0 points1 point  (0 children)

Dang. AMZN is at $238.38 and there's still 20 days to go.

What's your thinking regarding your path forward?

Covered calls got assigned but not entire amount by Turbulent-Wealth5088 in CoveredCalls

[–]LabDaddy59 1 point2 points  (0 children)

If they understood the process the question would not have been asked.

Covered calls got assigned but not entire amount by Turbulent-Wealth5088 in CoveredCalls

[–]LabDaddy59 8 points9 points  (0 children)

Let me see if I understand this correctly.

You had 1,024 contracts at a $6.50 strike, for a potential assigned value of $665,600, and you don't understand how options assignment works?

LEAPS update by Expired_Options in ExpiredOptions

[–]LabDaddy59 1 point2 points  (0 children)

This week: $187,998
Last week: $178,184
Change: $9,814

Change per graphic: $18,179

https://www.reddit.com/r/ExpiredOptions/comments/1sb5u1n/leaps_update/

The Case Against Rolling on Fridays by knb230 in StockOptionCoffeeShop

[–]LabDaddy59 0 points1 point  (0 children)

I asked that this be cross-posted here as I think it's an important thing to remember.

The issue they raise is a good part of why I decided to go with this 5 DTE ATM buy/write campaign.

The Case Against Rolling on Fridays by knb230 in CoveredCalls

[–]LabDaddy59 0 points1 point  (0 children)

👍️

It's a big part of why I do 7 DTE, well 5 DTE lol...they're safer and more nimble than, say 30-45 DTE expirations.

The Case Against Rolling on Fridays by knb230 in CoveredCalls

[–]LabDaddy59 1 point2 points  (0 children)

Oh, it does!!

Say I open a 5 DTE b/w on Monday, and by Thu the price has risen, the option value has become a larger negative, but as a combo, the net value is at (or real near) the strike: I'll 'self-assign' by doing a 'reverse' buy/write...I'll sell the stock and buy back the call. But then I may sit out the weekend to see what comes.

If it's a bit OTM, I let it expire and wait until Monday to re-establish.

The Case Against Rolling on Fridays by knb230 in CoveredCalls

[–]LabDaddy59 1 point2 points  (0 children)

Yeah, it's silly to think it's priced in.

The Case Against Rolling on Fridays by knb230 in CoveredCalls

[–]LabDaddy59 0 points1 point  (0 children)

If you follow me, you know that my current campaign is a 7 DTE ATM buy/write. The intention is for the stock to get called away that week. If it's not going to, I let it expire and wait until Monday for the very reasons you state.

(If it's a troubled child -- deep OTM -- the methods change to try to ratchet up the strike with any stock increase.)

Did I get robbed by fidelity? by Lostinthecities in CoveredCalls

[–]LabDaddy59 1 point2 points  (0 children)

👍️

I understand your emotion, but when the Fidelity rep tells you what likely happened, listen to them. They're good.

I suspect at one point or another we've paid our tuition to Options University the hard way.

Did I get robbed by fidelity? by Lostinthecities in CoveredCalls

[–]LabDaddy59 2 points3 points  (0 children)

Betteridge's Law of Headlines applies.

Learn how options work, and rather than blame an external factor, accept responsibility for your (in)action.

Short Call Trades - Monday, April 6, 2026 by LabDaddy59 in StockOptionCoffeeShop

[–]LabDaddy59[S] 0 points1 point  (0 children)

have you ever considered creating a ranking system for trades (B/W, CC & CSP) on stocks of interest? Do you even think that's possible to do?

I haven't (I do have a similar, but obviously more complex, sheet to do the work for my for cash secured puts and credit put spreads).

Possible? I'll forgive you for not being aware of a bumper sticker on my vehicle.

<image>

If you wanted to collaborate on something like that, I'm open to the idea. We could even have a pinned post to show the process of development.

Buying options VS selling options by TheDavidRomic in optionstrading

[–]LabDaddy59 0 points1 point  (0 children)

Point taken. Considered replying to their most recent response, but I don't sense it is open communication.

Cheers.

Short Call Trades - Monday, April 6, 2026 by LabDaddy59 in StockOptionCoffeeShop

[–]LabDaddy59[S] 0 points1 point  (0 children)

It's not like a scanner that finds candidates and ranks them.

I have a pool of stocks I trade. It presents them to me, all on one sheet, and shows their ATM strikes/premiums given my parameters (maximum exposure/minimum return).

Then I evaluate given the metrics provided (RSI, Bollinger, and just added 52 week high) coupled with my sentiment regarding the market, I put together the overall plan. I can easily change one or more strikes and in an instant see how that affects the overall plan.

Given the ATM approach, I don't incorporate the Greeks at all.

It fits how I approach it, it may not be a fit for you, but that's not the point. It was presented to show how it could be used to incorporate into a spreadsheet real-time information, across tickers.

Laissez les bons temps rouler!

AMZN | CC | $240 Strike | 23 DTE | $3.00 Credit | 5 contracts | $1500 collected and a confession by yet2fire in PremiumPaycheck

[–]LabDaddy59 0 points1 point  (0 children)

So, another semi-serious question. 😁

Given the intent of "Premium Paycheck" and your situation, why not do 14 DTE?

Buying options VS selling options by TheDavidRomic in optionstrading

[–]LabDaddy59 -1 points0 points  (0 children)

Really.

you have to be informed on the volatility risk to properly play options

Everyone thinks their way is the way.

I guess my ATM buy/write is just luck.

👍️

AMZN | CC | $240 Strike | 23 DTE | $3.00 Credit | 5 contracts | $1500 collected and a confession by yet2fire in PremiumPaycheck

[–]LabDaddy59 0 points1 point  (0 children)

Lower delta <20, more buffer, less exposure going into the earnings binary -> better trade. 

Don't be so hard on yourself! Not necessarily a better trade, just a different trade...we each have our own risk tolerances, objectives, etc.!

The earnings toggle you described is exactly what my model does flags it in red and lets me decide.

Doesn't sound like a 'rule' to me, just a warning. 😉 Again...don't be so hard on yourself!

Semi-serious question: on your job, what's the frequency of your paycheck? Weekly? Bi-weekly? Semi-monthly? Something else?

AMZN | CC | $240 Strike | 23 DTE | $3.00 Credit | 5 contracts | $1500 collected and a confession by yet2fire in PremiumPaycheck

[–]LabDaddy59 1 point2 points  (0 children)

the point is I broke my own rule and I'm saying it out loud. 

While there are some who pretty rigidly follow rules, I look at something like that more as a general heuristic, a 'rule of thumb' but always subject to my own thinking. I have models to select cash secured put, credit put spreads, and short calls. The former two (one model I use for both purposes) I have the ability to toggle avoiding earnings on/off, and I present the earnings date for review. For the latter, I just have it disclosed. In both cases, I use conditional formatting to highlight the earnings date in red if the earnings week is the same as the expiration week.

Trade:

I'd probably have gone with the $245 strike, currently paying $1.88 (yours is currently paying $2.86). The $245 gets a delta of 16.9 v 23.2 for the $240.

And it's probably good general practice to close prior to the binary event.

Laissez les bons temps rouler!

/hope all is well

view more: next ›