Blazin
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Investing General Discussion
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Hope this answers the question: sold LAZR Jan 15th puts at 17.5 strike, luckily just 1 contract. Not a huge deal, but I know i'm losing my 1.6k and i'd of rather lose it now for tax purposes then carrying it another 2 weeks hoping for too much of a drop that won't ever come.
Blazin
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If you sold the 17.5 puts why are you losing money with it trading at $34.00 they are currently selling at worthless 0.00 bid 0.05 ask? Did you buy the put instead of sell it?
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yeah I bought it, sorry. And it was 10 contracts, not 1. Just trying to dump them. Sold 1 already for like 12 dollars, trying for the other 9 now.
edit: and now they are all gone. Glad to take that loss now instead of 2 weeks. I have ZERO faith LAZR going to be 15 or sub 15 a share by then.
Sanrith Descartes
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Sanrith Descartes
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Volume is up and people are banking on PSTH announcing a target early in Jan. As much as much as I love SPACs, being up 40% with no target announced or even rumored is kinda cra-cra.
ToeMissile
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So perfectly normal for 2020, nothing to see here :-D
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Sanrith Descartes
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Sold some puts on the QQQ expiring next Friday at the 50 DMA ($296 strike). Got 76 cents on the premium. I am thinking we are seeing rebalancing out of the Big Market Cap companies for year end and this selling subsides next week.
Blazin
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Only thing I would note is that you had already taken the majority of the loss that you could possibly incur. There may be little chance of them working out but I would have let them ride on the chance of getting lucky rather than selling them for a few cents. I guess it would depend on what you paid for them, if I paid .30 for them maybe just dump to recover 1/3 the price. If I paid $2 for them I'd have let them sit.
Sanrith Descartes
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If I recall correctly He had some margin issues he needed to resolve by mid January or somewhere thereabouts. I am guessing he wanted to book the loss in 2020 for tax purposes.
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It would seem silly to basically give the puts away 2 weeks early (they sold for basically nothing), but despite being a active trading noob, I did make a lot of realized short term cap gains for 2020 so these near worthless lazr puts were worth more to me at this point as a slight tax credit than hoping they rise enough to sell for equal amount of net savings.
And as San mentions below, I have drawn out near the max margin I'm allowed and have to rapidly pair down my positions in 2021. I'll start with the big winners and take it from there.
My gut tells me 2020 will be seen as an anomaly. Its been a fun tiger ride, but you got to know when to jump off before it eats you.
2021: Holding a few stocks waiting for long term cap gains qualifications hit (BA, DIS, PLTR). The rest of my stuff, selling very close in the money covered calls over and over till they hit. Also selling anything that is 50+ percent gain. All until I get my margin paid off and then switching my individual account into something more passive and restriction "active" investing to my ROTH and to a lesser extent my self managed 401k account. Thats the "plan" anyhow. I hope I have time to execute it before something market-bad happens.
My 2020 options tally is a net LOSS of around 2k. I suppose it could of been far worse. Buying calls and buying puts just turn me off. I like Sans strat of being on the other side. May as well get paid premium for stuff you'd like to already own or stuff you'd like to sell anyways.
Sanrith Descartes
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If you had some fun and learned a thing or two, then 2k isn't a (relatively) bad cost. The key being did you learn something. Mistakes usually cost money, but the trick is to not make the same ones again and the 2k cost of learning can be made up pretty quickly with the knowledge learned from the loss.
Sanrith Descartes
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So 2020 is in the bag. All-in-all I am up 25% in one account and 54% in another. My daughter's custodial account is up 47% and my mom's two accounts are up 30% and 45%. It was one hell of a year.
I learned options trading this year and unlike
Locnar
it cost me more than 2k in losses while I learned the ropes. Luckily for me I learned from my early BA and XOM options mistakes and turned it around in the second half. My XOM and M positions cost me about a 10% hit to my return (which is why i was only up 25% in that account instead of 35%)
I like my setup for 2021. I am holding 16 long positions and a large pile of cash from closing out my QQQ a few weeks ago. I will keep the cash working selling weekly puts on QQQ until we get the correction I am anticipating.
Its hard to not be happy with the results this year. I hope everyone else can say the same. Cheers, boys.
I want to take a moment to thank
Blazin
for his input in this thread and in DMs. I ended 2019 with an outdated investing philosophy and I ended up opening my mind to what he was saying and used it to lead me to places where I learned stuff I needed to learn. We don't always agree on shit (hello to you Mr. SPAC), but my alpha this year wouldn't be where it is without him. So, thanks.
I learned options trading this year and unlike
Locnar
it cost me more than 2k in losses while I learned the ropes. Luckily for me I learned from my early BA and XOM options mistakes and turned it around in the second half. My XOM and M positions cost me about a 10% hit to my return (which is why i was only up 25% in that account instead of 35%)I like my setup for 2021. I am holding 16 long positions and a large pile of cash from closing out my QQQ a few weeks ago. I will keep the cash working selling weekly puts on QQQ until we get the correction I am anticipating.
Its hard to not be happy with the results this year. I hope everyone else can say the same. Cheers, boys.
I want to take a moment to thank
Blazin
for his input in this thread and in DMs. I ended 2019 with an outdated investing philosophy and I ended up opening my mind to what he was saying and used it to lead me to places where I learned stuff I needed to learn. We don't always agree on shit (hello to you Mr. SPAC), but my alpha this year wouldn't be where it is without him. So, thanks.- 8
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Blazin
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I want to take a moment to thank
Glad to be of assistance, you're welcome and congrats on a great year
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Jysin
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Best move of this year for me.. having the foresight to cash full 401k out of S&P and put into Bonds 1 week before the market top in February. (Saw everything happening in China and port closures and knew it would get ugly). Worst move of 2020, not buying back into the recovery. By summer, I felt it moved far too quickly with huge uncertainty looming, so kept too conservative. I missed the easy money back into the indexes.
Also, at one point had about 20k shares of DAL when it cratered at a price of around $26. I panicked out when it dipped <$25. (Trading at $40+ now)
Tesla, had the finger on the buy when it had a crazy swing down to $330 in September. Didn't pull the trigger. Here we are hitting $718 today.
It's not all doom and gloom. I did make some great swing and day trades. I am sitting at about 24% for the year. It should have been far higher, but I need to work on my conviction and learn how to hold onto winners and not sell too quickly.
This community has been fun bouncing ideas around. Haven't taken the dip into options yet. I need to perfect my swing trading first.
Keep green in 2021 everyone!
Also, at one point had about 20k shares of DAL when it cratered at a price of around $26. I panicked out when it dipped <$25. (Trading at $40+ now)
Tesla, had the finger on the buy when it had a crazy swing down to $330 in September. Didn't pull the trigger. Here we are hitting $718 today.
It's not all doom and gloom. I did make some great swing and day trades. I am sitting at about 24% for the year. It should have been far higher, but I need to work on my conviction and learn how to hold onto winners and not sell too quickly.
This community has been fun bouncing ideas around. Haven't taken the dip into options yet. I need to perfect my swing trading first.
Keep green in 2021 everyone!
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Fogel
Mr. Poopybutthole
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I guess we're doing our end of year success stories so I'll post mine. Up until October of this year I did the basics that everyone should still do - Max out my Roth IRA contribution and 401K contributions and put them in an index fund. Mostly SP500 but started doing 50/50 SPY/QQQ. I did want to spend more time learning the markets and see if I can use some time and knowledge to generate extra returns. I started October with 63k and ended last week with 75k, almost 20% return in just two months, mostly from selling puts with a few lucky hits like CCL after the pfizer vaccine and most recently GMHI going parabolic with LAZR. I have to give most of the credit to
Blazin
and
Sanrith Descartes
who put me on the right direction of selling puts on quality companies.
I'll probably play out this latest spac crazy through January and then go back to selling puts. Good luck guys
Blazin
and
Sanrith Descartes
who put me on the right direction of selling puts on quality companies.I'll probably play out this latest spac crazy through January and then go back to selling puts. Good luck guys
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Indyocracy
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Due to Gambling problems I bought SPY puts and Disney puts back in March as everything was heading down through January, I figured any financial crisis we created we could fix, between those and taking Sanrith and Blazin's information on selling puts on quality companies and the SPAC info I turned my options learning money of about 5k into 13k. If I was smart enough to diamond hands those SPY and Disney puts I would have made a whole lot more but didn't wanna get greedy. So thanks for everything been a really good year!
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Fogel
Mr. Poopybutthole
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