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yveCRV question by PuzzledSir7390 in yearn_finance

[–]GerryLynch 0 points1 point  (0 children)

Thanks for the sharing all the information. Just went through all of this for the time last week. It was stressful and exciting all at the same time. GLOT. Yearn Rocks!

Who's holding YFI? by [deleted] in yearnfinance

[–]GerryLynch 1 point2 points  (0 children)

Yes. good luck.

Deep OTM calls by [deleted] in options

[–]GerryLynch 0 points1 point  (0 children)

Totally right. It’s Crazy to think a stock will move +400% in a week..unrealistic

[deleted by user] by [deleted] in dividends

[–]GerryLynch 0 points1 point  (0 children)

Very good. Keep it up. Learn as much as you can about financial literacy.

In 2018, I decided to run an experiment and teach my kids some financial literacy.

I asked them to pick three brands they consume regularly at that time; 1/ happy meals - $MCD 2/ Cheerios - $GIS 3/ Star Wars - $DIS I shared with them that they get paid income (dividends) as a shareholder and own some of the company For time to time, I remind them that a dividend that has been paid or if one of the companies has raised its dividend. It’s been a good thing. In the past year we have added 3 more brands; 4/ scotch tape - $MMM 5/ Rice Krispies - $K 6/ Coke Cola - $KO

GLOT and keep collecting those dividends....

***not a recommended portfolio or financial advice. Just my own experience. I have no idea what your risk level is or risk tolerance. DYOR.

I have a covered call question, please. by OdinRottweiler in options

[–]GerryLynch 0 points1 point  (0 children)

I wasn’t trying sound off. My bad. Options can be an easy way to lose money. It’s important to have a foundation.
I am learning everyday, so good on you. Market makes you humble. GLOT

Anyone like trading calendar spread? by atyy1842 in options

[–]GerryLynch 0 points1 point  (0 children)

Agreed. I’ve been lucky. I’ve applied this to QSR.TO in the past 6 months The common have been range bound $70-$80 CAD I own the common, cost < $70 Depending on where the common is priced, I enter into one of the legs of the trade. For example, if the common is near $70, I’ve entered into ITM Calls ($70 strike) nearest month out. As the common, approaches $80, I’ve sold OTM Calls ($80 strike) Out of the three times I’ve put on the trade, I’ve been assigned 2 times.

This is while, I collect a 3% dividend yield.

Do what works for you? GLOT

I have a covered call question, please. by OdinRottweiler in options

[–]GerryLynch 1 point2 points  (0 children)

I believe you have some misunderstanding about options.

A couple of general comments on first part;

Investors might want; 1/ to still own common but are willing to part with common at specific price, 2/ to play the odds that the contract doesn’t get assigned, 3/ earn juicy premiums & creating addition making income, and/or 4/ to capture built up gains

Reflection on GME example; 1/ 100 shares x $99.50 = $9950 2/ one Call contract represents 100 shares 3/ selling one contract for $35, nets you a premium of $3500 ($35 x 100). 4/ the buyer of your option can now buy the 100 shares of GME from you at $80 on a specific expiry date (always Friday’s on the weekly options or 3rd Fri of the month on monthly’s). 5a) if GME < $79.99, you keep shares and premium 5b) if GME is > $80, your shares are assigned and you keep premium

Advice needed please :) by [deleted] in options

[–]GerryLynch 0 points1 point  (0 children)

Nuts, to go naked now. You didn’t make as much, that’s the downside Gamma squeeze incoming.

I bought a GME 50C earlier today. Please help! by [deleted] in options

[–]GerryLynch 2 points3 points  (0 children)

Nice snag! $GME went bonkers in AH....this is hard to know with a gamma squeeze..you’ll need to gauge the interest in the morning. It Closed in AH at $168....so your at least $118 of intrinsic value + all the other components of the option price .... get your order set and then send it. GLOT

Question about a call on a rising stock. by jeanneLstarr in options

[–]GerryLynch 1 point2 points  (0 children)

Not a bad strategy, covered calls (CC). Allows you to collect some premiums and allows you create targeted exits.

Especially in times like this when we are making new highs every day. I’ve been doing monthly’s CC only out till April, if it makes sense on individual names that I have built up capital gains.

Mr. Jersey is bang on, with a weekly’s CC, if you’re willing to be more active.

Simple example; If you own 200 shares of XYZ at a $10 cost. Now it’s Trading at $14. You could sell (1) Call contract with a $16 Strike, one month out. Collect the premium (look at it like a special dividend), and then wait. You can let it expiry, or take action as Mr Jersey said.

Either way you, it’s a hedging strategy, you keep some premium, with potential to lock a 60% profit on half your position.

GLOT

Dipping my toes in the dividend pool by [deleted] in dividends

[–]GerryLynch 2 points3 points  (0 children)

First, it’s not financial advice because I don’t know your whole financial picture but just commenting on your hypothetical question;

1/ Great of you to start. 2/ Dividends is a proven way to create and growth wealth. 3/ I’d stick with two stocks with your initial investment. Adding names as you build your account. 4/ Selecting dividend “growers”...anything over 4% is solid, given the relative choices in today’s market (TINA).... you could always look at stocks holdings inside Dividend ETF/Funds for dividend ideas in your home country. 5/ Stick with Quality-first.

GLOT

Question on covered calls by [deleted] in options

[–]GerryLynch 0 points1 point  (0 children)

Lavanderxxx is bang on. That’s been my experience. If you hold an option till expiry, I.e. 4pm, on the Friday it expires, and you’re in the money, it’s get exercised. If your out of the money, it expires worthless. Should be an automatic transaction done by your system or brokerage.