I opened a covered call on TSLA as the price has skyrocketed and I don't think this is sustainable. A pullback was playing out but delivery number spiked the stock back up. In my opinion a pullback is highly likely.
This is my second covered call, already made profits on another covered call previously.
Strike price: $310, because that is a big cluster of resistance zone
Expiry: 14/07/23
Premium: $2.8 at the time of my entry
Shorting a Call option is very very risky and I am only doing it because I own >100 shares of tesla so in the worse case I will still be very profitable.
This is my second covered call, already made profits on another covered call previously.
Strike price: $310, because that is a big cluster of resistance zone
Expiry: 14/07/23
Premium: $2.8 at the time of my entry
Shorting a Call option is very very risky and I am only doing it because I own >100 shares of tesla so in the worse case I will still be very profitable.
Trade active:
I opened another covered call for next week 21/7/23. strike: 320. My TSLA shares do be generating free money for me.
Comment:
Free money!!! I opened another short call right at the top and it is almost worthless now. Opened a vertical short call spread too. Making money on the way up and down.
Comment:
All my calls as well as my short spread, expired worthless. 5 covered calls and one short spread in total since July. This stock is a cash cow. No more moves for now, will update for the next opportunity.
For those who think I am losing more money as the stock goes down, I hold these shares long term and my buy in price is extremely low. I plan to buy the dip when opportunity arises. Eventually, when the correction is over, and the stock makes the next leg up, I will be swimming in money
For those who think I am losing more money as the stock goes down, I hold these shares long term and my buy in price is extremely low. I plan to buy the dip when opportunity arises. Eventually, when the correction is over, and the stock makes the next leg up, I will be swimming in money