I closed 1 lot(s) $NVDA 20240531 952.5 PUT$  ,The 0.008 Delta Short Put expired worthless as expected. This is the second experiment of selling puts on Nvidia with less than a 1% chance of the stock price reaching the strike. Both contracts were just 2-day positions, keeping the risk short and manageable. It’s important to avoid selling such options during events like earnings announcements or news that could cause significant volatility or movement in the underlying price. Otherwise, this strategy can be relatively safe, provided it is applied to fundamentally strong companies. However, this opportunity is short-lived as Nvidia will undergo a 1-to-10 stock split in the week after. This means there will only be one more trade possible before the stock price adjusted to the $100 level. At that point, trading would require multiple lots—specifically, 10 lots. The small premiums, combined with the commission costs, would make this trading style unviable. Therefore, I will be searching for new stocks to apply this same strategy next.
NVDA PUT
06-01 20:31
US20240531 952.5
SidePrice | FilledRealized P&L
Buy
Close
0.00
1Lot(s)
+100.00%
Closed
NVIDIA Corp
# Trade Feed: Who is your favorite star traders?

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.

Report

Comment3

  • Top
  • Latest
  • banchin
    ·06-02
    Thanks for sharing your experience
    Reply
    Report
  • Aqa
    ·06-03
    👍🏻
    Reply
    Report
  • KSR
    ·06-02
    👍
    Reply
    Report