Day 7 of 30 Days to 100K Short NVDA Buying 10/09 Puts 1 Day Play

NVDA has had an amazing run the past couple of weeks. Now approaching Highs, and strong Resistance we would tend to think how much further can it go?
But that's not enough reason to bet on the downside. However we did get a trend reversal signal and Momentum, MACD, RSI, and Williams %R all flashing bearish signs.
This morning We Sold out of NEE only had 2 Options But sold at $6.10 each for a total of $1,220 but purchasing it only cost us $591.40. On a 1 day hold Monthly Contract that's not bad at all (really wish I had bought more of those but...can't dwell on the missed opportunities have to capitalize on the ones ahead. Between AMZN come up yesterday and selling NEE we are officially over $13k. We are not going to put all our eggs in one basket here, because we've come to far to loose it all but we will go 50%
So Buying 10/09 Puts Strike price of $540 for 12.50 a piece. We are going to buy 5 totaling $6,250. We won't be holding this long. So keep an eye on it. The market has been all over the place this morning and if it turns to the Red and we have a chance to close this position for some nice gains today WE ARE GOING TO TAKE IT. But, if not we hold till tomorrow, but no later then tomorrow do we exit (not good to hold weekly Contracts over the weekend). Other Cash we are going to leave on the side line in the event a Sweet/Unique opportunity presents itself. GLTA
I AM NOT a financial advisor, and the IS NOT FINANCIAL ADVISE.
This is for entertainment purposes only. Showing how to turn $2k in to $100k with in 30 trading days.
As we make this attempt feel free to follow along, I will continue through the 30 Days to put out free content.
Needless to say if we in fact make it to $100K (and I say if, when really I mean when. Believe in your abilities, know what your doing and you can accomplish any thing),
I am then going to be putting out a channel you can follow for a VERY small subscription fee (very small). I mean realistically if we turn $2k into $100k in 30 days, I'd say that's some advice that's worth something. But that choice is up to you. In the mean time follow along and enjoy. Lets get there first.
Day 7 of turning $2k into $100k in 30 Trading Days....GLTA

Comment:

Gmorning all, Happy Friday! So the Gov't was able to pass stimulus, so that is a positive for the market. Yesterday NVDA did dip below $240 (our strike price) to a low during the day at $238 and change. So there was def a chance to cash out in the money for some gains. I held because I was expecting a little more downside. Needless to say technical analysis plays a role in stock pricing and can be useful for price entry's and exits. Beyond technicals, theres fundamentals, volume, psychology etc. Now it is still very early and the pre-market doesn't always mean the market is going to move the same way. And today we may have stumbled upon some what I like to call dumb luck. The President and First Lady have tested positive for Covid. Of course I do not and would not ever celebrate anyone getting sick fot personal gains and wish them a speedy and healthy recovery. But the news does have the pre-market red, can potentially alter further stimulus talks and if it continues it would seem that we will have an even more profitable exit on our Put positions with NVDA. Timing of courde is everything. If things continue and the market opens at these levels I will def be closing the position on the open, especially if NVDA opens in the red 2-3%. Yes there is the chance that the market could dip lower, but I've always been one to take a nice profit over being greedy hoping for more. Because things can quickly turn the other way. And regret if a mofo. Beyond exiting our NVDa position, with today's news it would not hurt to look towards stocks that are most effected on this news. Airlines, cruise lines etc. Keep in mind it is Friday. And if you don't know my position on opening an Options position on a Friday I will reiterate it. Very rarely does it make sense to open an options position on Friday. Only on longer options plays does this make sense, and you would need to be expecting some big move on Monday to do this. So unless you have insider information (which is technically illegal to trade unless your on the board of the company your trading), the only reason to do this would be an expected earnings on Monday. Now that doesn't mean we are going to sit on the sideline. But any positions we open today, we will be closing today as well. I'v e mentioned some stock sectors that would be most affected. However, today I'm going to be looking to the bigger Higher priced stocks for a position. The AMZNs, SHOPs etc. Because these stocks are more valuable there 1-3% moves are worth more to us then the smaller names. Sure you can buy 100 options positions but with that can come a hefty commission. Will update you closer to market open.
Also I would like to note beyond what we are attempting to do here, diversification never hurts. Gold, Cryptos etc. Often time people believe when the market crashes Gold goes up, which is often the case, as its a safe haven play. But more times then not Gold would move the same as the market INITIALLY (not always but), this would be the buying time in these markets. The philosophy behind this is that many larger traders liquidate Gold positions to cover Margin Calls, dipping Gold, which then later rises. Just some fun Friday info. Happy Friday again GLTA and be back closer to the open with today's play.

Comment:

BOOM!! Big win today boy's and girls sold our 10/09 Puts at $20.00 a piece!! And yet another near double up. That trade closes at en even $10,000. Sold 5 Put options at $20.00 per That trade was started yesterday at $6,250 and closed out today at $10k plus cash we had on the sideline now starts us on Day 8 just under $18k. Lets see what we find for Day 8