Investing General Discussion

I sold an (cash covered) OTM put @405 for roughly 37.00$ for Nov 29th. So that's 40,500$ at risk for one week for 3700! With the way this thing moves it could very easily be ITM by that date, in which case I would sell an ITM call(likely to get exercised) at whatever strike would net me some earnings but "safely" make sure I don't own the shares.

EDIT:
The buying shares is an interesting option as well. You could sell OOM calls hoping to NOT get exercised and lower your cost basis by a ton very quickly. This is not a bad strategy if you really believe bitcoin and thus MSTR will continue to climb. Just either be prepared to have your shares taken or roll it when it does another explosive move.

So I guess the real question, and worth a discussion regardless of personal belief in bitcoin would be "Is this a fad due to trump win/election volatility or are we truly seeing a shift in the value/use case for bitcoin?"

At the moment, I believe it is the first, just a temporary volatility. Until I see some sort of congressional law/regulation update around crypto in general I think this will fade. However Bitcoin rarely fades all the way back down and other countries and industries are taking notice, so even on a fade I think it will continue to slowly find new highs on the charts. Where it will settle I have no idea for now.

I won't make this thread political but there is something unique about this administration and all the talk of ripping up departments, ending bureaucracy, crushing pharma/FDA, blah blah that if they can actually accomplish what they seek and not get stuffed by congress, I think this will be an extremely insane year in the market.

My general principles for the upcoming 6-9 months:

• I'm avoiding healthcare/pharma stocks in general. I'm sure there is money to be made there but I'd rather not take the risk. Maybe I would buy some puts if I saw really obvious downward trends(low $ amount though, like 5-10k plays)
• I am generally into anything crypto based but with reservation. I still hold FBTC + BITO primarily on that front and had to pay 8k to prevent them from being called on me after the explosion. I am avoiding CCs on both of them for the next few months until I see where the dust settles
• Oil/Gas/Energy has the potential to explode pending any regulation cuts, no plays here yet but watching
• I expect some big movement in small/medium business, no major plays beyond the 2000 index here but watching a few
  • I have 20k in DLO(which Im up), 20k in RXRX(about even at the moment), 20k in RCAT(up over 300%), and 20k in POET(about even)
  • I usually post that crap in the shitposting stock thread since they are all completely speculative plays. I try to keep some money in the longshots just because why not

Jesus dude lol.

Sold a Dec 6 $340 put for $31.49. Opted for a little longer duration at a lower price than Rangoth, we'll see haha.

Tmac said:

Canceled my limit order. Looks like finding an "entry" is now my perogative.

Gonna test out this thread's opinon (per puts) to see who's right. And it's enough money for me that the lesson will stick.

If you guys are right I make $10k premium. If I was right I lose $10k gains.

Click to expand...

I am not investment expert, but I think you have the wrong attitude here on this particular play. If you believe in MSTR + bitcoin and you think this trend will continue upward(even if it slows down), buy in now. Then you can choose to hold it for your belief it rises, or sell CC's weekly or monthly the get premium or just make a swing play on it. You can *immediately* lower your cost basis by 20-60$(depending on CC delta/risk level) the moment after you buy the shares. So trying to pin some precise limit is useless.

For me, I am still unsure if I really believe in the hype of bitcoin and MSTR, so I 100% intend to wheel it. I will have absolutely no shame if assigned on either side of the wheel because the next week I can make another 5%.....until it either falls like a rock of the IV cools off in which case I would exit.

How you play it just depends on what your belief is about the long term projection. For me I am sticking with bitcoin ETF for my "long bitcoin"...which maybe is a mistake over MSTR, maybe not, time will tell. The ETF's are up also btw, just not as much as this ticker.

I had 6,000 shares and was selling CC's. 20 calls got pulled from me on an early execute(still made money) and that's when I bought back the other 40 for now.

I've got $99,800 high tick.

lol, so I'll be assigned on MSTR. Dropped and closed @ 421, with my premium I will be @ 430 cost basis from my 0DTE cash put! Technically I lost 900$

I will probably sell a call @ 431(or something like that), and if my shares are called I'll make 100$ + whatever premium I can get. Of course I will change course based on after hours and pre-market Monday.