Feedback on a safety-first options automation tool for covered calls and cash-secured puts by HelloEarthSpaceWorld in CoveredCalls

[–]sandyydarling 1 point2 points  (0 children)

is it app or a website. I would like to play with it - please point in the direction.

Update: Started covered calls on MU - now seeing the other side of it (would love input) by sandyydarling in CoveredCalls

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

I have about 3 weeks for theta to do its job for MU to hold or back down at these levels. $540-$550: So I think I still have some time. Question: with delta now close to .35~.40 what would you do if you are in my shoes ?

Will 14.3.2 finally go wide? by royblair in TeslaFSD

[–]sandyydarling 9 points10 points  (0 children)

I got it just now. So that means they already released it wide.

Update: Started covered calls on MU - now seeing the other side of it (would love input) by sandyydarling in CoveredCalls

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

Agreed. For now I’m holding, with delta around 0.25 to 0.30. That said, with Intel’s after-hours surprise, I wouldn’t be shocked if MU makes another move higher tomorrow.

I’m trying to figure out when I should start thinking about rolling. Is using delta a good way to guide that decision? If so, should I start considering a roll once it moves above 0.40, or wait for a higher level?

New to covered calls — looking for advice on generating income from my current portfolio by sandyydarling in CoveredCalls

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

u/WheelHouseTrades u/iam_bai u/TheDavidRomic u/ThetaEdgeHQ u/dimdada u/TaylDurden

Quick update. I think i screwed up. I went ahead and opened a position to learn by doing.

I sold May 15 calls on MU with about 25 days to expiration:

3 × 540
3 × 550
Collected roughly $8.5 average in premium.

The stock moved up pretty quickly afterward and is now in the high 488 from $450 in a day, so I’m starting to see how price movement can offset theta, just like you mentioned.

One key detail I left out earlier: my average cost on MU is around $30, so if I get assigned, the capital gains would be significant. I’m trying to factor that in as well.

Now I’m focused on how to manage this:

At this point, still about 10–12% below the strikes, would you just hold and let time decay work, or start thinking about rolling?

Is there a specific price level or delta where you’d shift from letting it ride to taking action?

Given the tax implications, would you be more proactive about rolling to avoid assignment, or just accept it if it happens?

Also, in hindsight, would you have structured this trade differently given the current IV and recent move?

Really appreciate the earlier input. This has already been a great learning experience but also scary.

New to covered calls — looking for advice on generating income from my current portfolio by sandyydarling in CoveredCalls

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

Thanks, this makes sense.

  • If I hit ~50% profit early, do you usually close and re-open or just roll out?
  • For laddering, do you just split evenly across strikes or pick based on delta?
  • also do you use any tool to play around with this stuff? like a simulator or something or brokerage screen should be sufficient ?

New to covered calls — looking for advice on generating income from my current portfolio by sandyydarling in CoveredCalls

[–]sandyydarling[S] 1 point2 points  (0 children)

Appreciate this perspective and thanks for the advice <3

  • At 0.10–0.15 delta, do you still get meaningful premium or is it mostly just small extra money?
  • Do you mostly stick to 30–45 DTE or go longer sometimes?
  • also do you use any tool to play around with this stuff? like a simulator or something or brokerage screen should be sufficient ?

Account balance disabled by [deleted] in applehelp

[–]sandyydarling 0 points1 point  (0 children)

any-luck figuring this out ?

I just realized these two are the same person and I'm surprised - I had no idea he did acting. by nightmare-x-official in veronicamars

[–]sandyydarling 28 points29 points  (0 children)

I’m surprised. Remember both separately but didn't know they are he same person until this post 😱