Profit Breakdown: How I Made Money Selling Calls on PLTR

Here’s a breakdown of your potential weekly profit calculations:

Profit Breakdown: How I Made Money Selling Calls on PLTR

1. Buying 100 Shares of PLTR

I purchased 100 shares of Palantir Technologies (PLTR) at $74.45 per share. This serves as the foundation for my covered call strategy.

2. First Call Option: Sell at $4.15, Buy Back at $4.10

I initially sold a call with a strike price of $71 for $4.15 and bought it back for $4.10. This netted me a profit of:

.

3. Second Call Option: Sell at $2.58, Buy Back at $2.50

I sold another call at $2.58 and bought it back at $2.50, earning a profit of:

.

4. Third Call Option: Sell at $3.57 with $72 Strike Price

I then sold a call with a strike price of $72 for $3.57. If the stock stays below $72, I keep the full premium of $3.57 per share. My effective price calculation here is:

, or:

.

Total Weekly Profit

Adding up all the profits:

• First call: $5

• Second call: $8

• Third call: $112

Total potential profit for the week: $125.

By using this strategy, I effectively lowered my cost basis and earned premium income while holding PLTR shares. This method can consistently generate cash flow even in sideways markets!

@CaptainTiger 

@TigerStars 

@TigerTradingNotes 

As usual disclaimer not financial advise more of recording my Dec 2nd week learning