How Can You Outperform Stock Returns in This Bull Market?

MillionaireTiger
10-22

Last year, $NVIDIA Corp(NVDA)$ soared by a massive 239%, and this year it’s already up 190% YTD.

But the real question is: How can you outperform the stock’s returns in such a bull market?

💡 Want to know the secret behind those mind-blowing gains? Let’s dive in!

🎉 Huge shoutout to @Fizzles for locking in an incredible 229.22% profit on NVDA calls!

🎉 And a big congrats to @Changjieming for bagging a $1,499.24 gain on NVDA calls!

👉 Got a winning strategy of your own? Share your golden trading tips in the comments below! 👇


So, why is there such a big difference in cost price for the same NVDA calls?

If you look at the chart on the left, you'll notice an expiration date of 2024-10-25 with a strike price of $148. The option’s time value is nearly drained, as it’s close to expiration. On the right, the expiration date is 2025-12-19 with a strike price of $120, and it’s already deep in the money.

Now, let’s break down the perks of buying call options:

💥 Leverage: With options, you can control a larger stock position for a fraction of the cost. By paying the premium, you can capture potential gains from the stock's upward movement without putting up the full price of the shares.

🛡️ Limited Risk: The maximum risk when buying a call is the initial premium paid. If the stock price falls below the strike price, your worst-case scenario is losing the premium—no more, no less.

📈 Unlimited Upside: If the stock price exceeds the strike price, you can buy the shares at a lower price, locking in the profit. In theory, the potential upside is limitless.

However, there’s always a catch: time risk. Options have an expiration date, and their value decreases as time ticks away. If the stock doesn’t rise above the strike price by then, the option could become worthless.

🔥 Nvidia is just $70 billion away from overtaking Apple as the world’s most valuable company! When do you think it will reach the top?

Some analysts predict $160-$165 will mark a near-term top before a potential reversal. 📉

💼 Got NVDA in your portfolio? What’s your target price?

Let us know your thoughts below! 👇

🎁Rewards:

  • Feel free to share your NVDA stock positions in the comment section to win Tiger Coins! Don't miss out on sharing your tactics; give us a lesson!

  • Large or high-win-rate positions also stand a chance to win stock vouchers and official interview invitations! Let's uncover who the guru is!

  • If you've achieved profits from other potential stocks we don’t know, kindly share your trading strategies in your post, and remember to include the topic "Winning Trades". Hope you'll be the next one to make it onto the leaderboard~

🧭 Share positions:

Winning Trades
Share your positions with us! This is a column where you can find the winning trades of our fellow tigers. There probably are a few potential opportunities that you may have overlooked.
Disclaimer: Investing carries risk. This is not financial advice. The above content should not be regarded as an offer, recommendation, or solicitation on acquiring or disposing of any financial products, any associated discussions, comments, or posts by author or other users should not be considered as such either. It is solely for general information purpose only, which does not consider your own investment objectives, financial situations or needs. TTM assumes no responsibility or warranty for the accuracy and completeness of the information, investors should do their own research and may seek professional advice before investing.

Comments

  • Optionspuppy
    10-22
    Optionspuppy
  • koolgal
    10-23
    koolgal

    🌟🌟🌟There is no question that Nvidia $NVIDIA Corp(NVDA)$  is the best performer among the Magnificent 7.  Its share price has been on a tear and is on the cusp of overtaking $Apple(AAPL)$  as the most valuable stock not only in the US but in the world.

    I just simply buy Nvidia and hold long term as it is the market leader in specialised AI chips that is  very much in  demand.  Its closest competitor $Advanced Micro Devices(AMD)$  has lots of catching up to do. 

    As the late Charlie Munger likes to say "The Big Money is not in the Buying and Selling but in the Waiting".    That is how he and Warren Buffett became rich, through the magic of compounding. 

    @MillionaireTiger  @TigerStars  @Tiger_comments  

  • nomadic_m
    10-30
    nomadic_m
    $NVIDIA Corp(NVDA)$ remains a favoured position in my portfolio. I recently locked in profits, and now I'm waiting for a strategic re-entry point. My next buy zone is below $135.

    In parallel, I'm honing my options trading skills using a demo account. Currently, I'm focusing on selling puts, which can provide a strategic hedge in a volatile market. However, I've encountered a limitation - the demo platform doesn't allow setting stop-loss orders.

  • PaulSam
    10-22
    PaulSam

    nvda was the only game in town and doing all the work. And everyone is rushing into the $150 call…

  • highhand
    10-22
    highhand
    got to invest in the multi baggers to outperform spx. can start with nvda. also can get additional income from options and trading stocks...
  • Olivia Bruce
    10-22
    Olivia Bruce

    Goal for next 3 months:

    Buy Nvidia on a 3% dip

    Buy more Nvidia on a 5% dip

    Buy NVDL on a 10% dip

Leave a comment
28
13