You may have heard of the recent news that Michael Burry, the “Big Short” investor who became very famous for his correct prediction of the epic collapse of the housing market in 2008, has bet more than $1.6 billion ($866 million in PUT options on S&P 500 and $739 million in PUT options on Nasdaq … Continue reading Is A Huge Stock Market Crash Coming? What You Must Know Before Shorting The Market?
Tag: options trading strategies
What Is Early Assignment Risk In Options Trading? Who Is Affected & How To Mitigate It?
In options trading (American style), the options contract owner (or buyer) has the right to exercise the options contract anytime between the start of the contract and the expiration date. An early assignment means the options contract buyer chooses to exercise the contract before the expiration date. However, it is usually rare as there is … Continue reading What Is Early Assignment Risk In Options Trading? Who Is Affected & How To Mitigate It?
Trading Review For June & July 23
In my previous post, I shared that the Tesla Bear PUT spread options that I bought at the start of the year expired worthless in the months of June and July and as a result, the loss amounted to almost S$14,000. In this post, I want to share my overall profit and loss for the … Continue reading Trading Review For June & July 23
-14k Down On Tesla Bear PUT Spread
Earlier this year, I made a huge bet on a potential market crash in 2023 and opened up a huge bearish position (BEAR PUT Spread) on Tesla. At one stage, these Tesla positions were in the green but I did not take profits as I thought Tesla's share price could drop further. Little did I … Continue reading -14k Down On Tesla Bear PUT Spread
$8,081 Trading Profit For May 23
May 2023 is generally quite a good month for the stock market. The "Sell in May and go away" theory did not happen this year as S&P gained more than 3% while Nasdaq gained more than 8%. It was also a good month for me as my total earnings from options trading add up to … Continue reading $8,081 Trading Profit For May 23
My Options Trading Strategy For 2023 | Introducing SOP Options Trading Strategy
In this article, I want to share with you an options trading strategy that is relatively low-risk and has a good margin for error, while being profitable and easy to implement. For simplicity sake, I shall called it the SOP strategy as I have been using it for the past 2 months and so far, … Continue reading My Options Trading Strategy For 2023 | Introducing SOP Options Trading Strategy
I Was Wrong On Tesla’s Direction But Still Close Options Contract With Profits
I sold a PUT options contract on Tesla stock at a strike price of USD160 on 31 March 23 when Tesla was trading at USD207. The expiration date was 5 May 23 (35 days contract), That means that as long as Tesla's share price stays above USD160 on expiration date, the contract will not be … Continue reading I Was Wrong On Tesla’s Direction But Still Close Options Contract With Profits
Finally A Green Month …
After a disastrous start to 2023, where I suffered 2 consecutive months of losses (-5.3k in Feb, -4.8k in March), I finally ended April with a small amount of earnings of $389. This may seems like a consolation and not worth mentioning, but a small profit is still a profit and it is better than … Continue reading Finally A Green Month …
Which Options Trading Strategy Works The Best For Me? (Review of Wheel, LEAPS & Vertical Spreads)
My options trading journey started on 26 Feb 2021 and I remembered that my options trade was to sell a PUT on Apple at a strike price of $126. In the fantastic bull run in 2021, I also used the LEAPS strategy to make massive gains. However, my LEAPS Portfolio crashed spectacularly in 2022 as … Continue reading Which Options Trading Strategy Works The Best For Me? (Review of Wheel, LEAPS & Vertical Spreads)
[24 March 23 Trade] Sold A CSP On Nvidia, SP $200, Expiration Date 19 Jan 24, Premium $1745 (8.75% Return)
It has been a while since I last sold a Cash Secured PUT (CSP). The main reason is because CSP is capital intensive since I need to set aside the capital to buy 100 shares of a particular if the contract gets exercised. I have been using the cheaper version of Vertical Spreads, e.g. Bull … Continue reading [24 March 23 Trade] Sold A CSP On Nvidia, SP $200, Expiration Date 19 Jan 24, Premium $1745 (8.75% Return)
Learning Investment With Jason Cai 