I only have two puts in the money and one of which I think will pop back up by the 19th. The other I am fine taking ownership of (EV Lidar company). Time decay the last week or two becomes magical. My rate of return on the PLTR puts wasn't great (I sold them a while back) and I turned that cash into more AAPL, NVDA and PYPL so in the long run I think it was the correct play. My KO put expires on Friday and Fri is also ex-div date so I plan to close out late Weds or early Thur so as not to get assigned early and get snaked on the 44 cent dividend. The time decay three days out is crushing.Like watching a pot boil last few weeks sold monthly puts so not much to do, 60 trades in Feb expiration period. So far with less than two weeks to go I'm at 17 trades in the 3/19 exp period. Not much to do each day other than sit and wait and let premium decay. Obviously seeing the decline in tech I would have liked to have more cash to take advantage.
Once I have sold options for the month I try to disconnect a little to avoid over trading unless I had a chunk of cash I was still looking to put to work. Decay at work, I sold the QQQ $290 puts when QQQ was $333 and I sit just a little in the green today with QQQ at $310. So even a full correction the premium still just rapidly decaying. Had I waited two weeks I could have made a lot more on the same trade but I've learned it's better to keep cash working in the long haul than to sit waiting for pullbacks that could be take months. Given my cautious stance in mid Feb I probably should have sold them out two weeks instead of the 30 days to free up cash quicker to buy dips.
Those are the same ones I closed out for about 30% profit so I could push the cash into AAPL, PYPL and NVDA at the lows. I think the 22 is more than safe and would have held them to expiry but I was out of cash and felt the return would be better long-term on the big names.I have some PLTR 22 Mar 19 puts I'm up big on already. With the way this thing is holding the 22 support I'll keep milking these 22 puts for as long as I can. Key is to sell them when PLTR has a big dip.
I almost want to be assigned on LAZR because I lost it to assignment on covered calls when it exploded up and I regret it as I like the company.Yesterday I bought to close my AAPL and QCOM 3/19 puts and purchased the equity.
I have closed out everything but my VLDR and BTWN puts that expire next week. For me there is too much volatility right now to target anything except my KO covered calls (which i roll weekly until I finally lose it). I am going to wait until later into next week before making any new moves. I am hoping all the gamma expiring on QQQ today will calm things down a bit.Monthly options expire next week, what are you guys eyeing up? I'll be eyeing PLTR for sure, but might go a bit over the 22 strike depending on how it performs next week and if the premium gets me to or below a 22 cost basis. I also like KMPH at 7.5 strike
Rolled my VLDR puts up and out. Went from the $17.50 strike to the $20 strike and form 3/19 to 4/16. Made a net 2.90 a share profit on the roll. Give me six weeks for the price ot get back up and my cost basis actually went down to 15.97 on the added premium.