I closed $SMCI 20240419 1020.0 CALL$ ,SMCI: collected full premium of 1.35% on this sold naked call over 10 days of contract. What a week for SMCI. When I sold this call, SMCI was trading at $900 which is on the lower end of my estimation. It then went on to touched my strike price at $1020 before reversing to now $713 for a whooping $307 lower just in this week! While this bearish outcome is what I wanted and liked, I can’t get my handle on how it happened. The general ‘excuses’ were SMCI didn’t pre announce earnings beats before the actual earnings announcement on 30th April seemed lame to me and market just need reasons to unload/profit taking. War risk in Middle East hardly should impact this 1 particular company more badly than anyone else so the real reason is anyone’s guess. Because of the very bearish sentiments and oversold situation, I turned bullish with 2 sold cash secured puts at $650 and $490. Both of them are currently in the red as I entered the trade too early because the sell off settles down. Let’s see how those turn out in coming weeks.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.
I hate last Friday