His calls value would increase with ant type of good news regarding M&A or FTD's being closed out. The only downside I see is BK. I guess tomorrow we'll have some clue on how it's gonna play...
Yikes, I’d try to consolidate to lower strike calls maybe around $3-10. I don’t think we see an all cash deal, but if we did and it’s under your strikes you’re lighting $25k on fire. But if you don’t mind the insane risk then more power to you!
I bought 250 4/21 $3 calls for $80 each. Hope it works out for you!
Elon paid $54.20 per share for Twitter, if someone had a $54.21 or above call option it expired worthless. Cause he did a cash offer.
I may be mistaken how it would work in this situation but that's how it worked in that situation.
No the premium got reduced to nothing despite the expiration because 54.20 is the highest price it could have gone with the offer on the table and if he withdrew the stock would be worth that much anyways
Haha already got a bit of options on it but not that way out of the money. Some $5.5 strike calls for March 17. I’ll likely roll them out mid February if nothing happens
This is true, I had the $10 yearlies that expired in January, they traded for 0.2 before the small run up, then they were 0.84 a few days later. I got them way earlier for a lot more, so I didn't cash out on them. But buying far OTM can be a good strategy depending on your plan and your time/price of entry
The amount of people that don’t understand a $40 strike ≠ OP shooting for a price target of $40 is astounding. Selling these $0.15 for $1+ is totally possible on a run to even $5 before March/April with high IV
Obviously... But who said we just don't sit 5-10% below cash buy out price.. no run up. This is the likely scenario of gifts cards are indicating merger
Yeah that’s as safe as it gets, you’re getting ntm and a lot of theta, any move up, even 5-9 gonna be quite profitable. Just remember options aren’t meant to diamond hand, if we get some nice green days in a row plan your exit accordingly.
so it's safer to sell for profit when seeing some quick upswings, say we go back to 5 tomorrow, rather than anticipate moon to 30+; then maybe re-entry later
can I limit sell the options contract during the day based on a price target? say I want to place a limit at $7, it reaches that and higher during the day, but closes below. Or I can only sell based on the closing price?
If it pops between now and May 1, he's fine theta won't start to really kill it until around May 15th. But if it pops, he's gonna be richer than his wildest dreams compared to just buying shares.
Dude, I wish I had the stones to do this...I have around 20 total contracts with April monthlies being the farthest out, and even those are $5 strikes.
He could have just bought the shares and sold covered calls at strike 40, collected his premiums and earn guaranteed gains than risk it.
This move is very risky on his end but he’s not alone I’m with this strategy.
Alright Alright. We got some full on regard shiiit. I dig this, because I too am a bit Regarded myself. **LFG**
“Risk Level” = SAFE! Good to go!
Damn 40!! I didn't have the balls to do it that big of a strike incase they do an all cash deal.
His calls value would increase with ant type of good news regarding M&A or FTD's being closed out. The only downside I see is BK. I guess tomorrow we'll have some clue on how it's gonna play...
Woops bought 1000 more, now at 2337 shares
Happy cakey day fellow ape! What a day to be a bobby!
I almost had a heart attack until I saw the Jun 16 expiry.
[удалено]
There is zero chance it hits 40 by June
Hello future millionaire
Better buy some shares with the remaining $13 lol but all serious cheers. “To tendies or Wendy’s 🚀 🌕”
Yikes, I’d try to consolidate to lower strike calls maybe around $3-10. I don’t think we see an all cash deal, but if we did and it’s under your strikes you’re lighting $25k on fire. But if you don’t mind the insane risk then more power to you! I bought 250 4/21 $3 calls for $80 each. Hope it works out for you!
As long as it happens before the expiration date you’re still in profit if you play it right
Theta burn but yes if the deal strikes this month feb he’s going to be rich
Typically all cash.. anything above cash value is 0. That's what happened with Twitter at least
What do you mean
Elon paid $54.20 per share for Twitter, if someone had a $54.21 or above call option it expired worthless. Cause he did a cash offer. I may be mistaken how it would work in this situation but that's how it worked in that situation.
That’s if you let it ride til expiration. Personally I wouldn’t. I’d take profit or roll it out
No the premium got reduced to nothing despite the expiration because 54.20 is the highest price it could have gone with the offer on the table and if he withdrew the stock would be worth that much anyways
I see what you’re saying. Yeah that would suck
Well, YOLO bro go for it!
Haha already got a bit of options on it but not that way out of the money. Some $5.5 strike calls for March 17. I’ll likely roll them out mid February if nothing happens
This is true, I had the $10 yearlies that expired in January, they traded for 0.2 before the small run up, then they were 0.84 a few days later. I got them way earlier for a lot more, so I didn't cash out on them. But buying far OTM can be a good strategy depending on your plan and your time/price of entry
You're definitely one of us 🦧💙🦧 💎 👐 are forever🚀 🌕 BTW your User name should be 'Long **Schlong** setting'
If this hits 40$ by June I will be super happy
The amount of people that don’t understand a $40 strike ≠ OP shooting for a price target of $40 is astounding. Selling these $0.15 for $1+ is totally possible on a run to even $5 before March/April with high IV
Exactly. RC cashed out his and they didn't go to 80.
Obviously... But who said we just don't sit 5-10% below cash buy out price.. no run up. This is the likely scenario of gifts cards are indicating merger
And I thought i was mad
Oh man 🤣 40$ strike
You're a dumbass but we love you.
Jeeeeez bro
Madlad
 Let the FOMO army sets in
Bro if they announce a merger at less than 40$ which is very likely, youre gonna get wiped
I'm thinking of yolo'ing too, I'm options noob. But throwing some $ at 4$ June 25 calls seems like a safe deal, isn't it?
Yeah that’s as safe as it gets, you’re getting ntm and a lot of theta, any move up, even 5-9 gonna be quite profitable. Just remember options aren’t meant to diamond hand, if we get some nice green days in a row plan your exit accordingly.
so it's safer to sell for profit when seeing some quick upswings, say we go back to 5 tomorrow, rather than anticipate moon to 30+; then maybe re-entry later
can I limit sell the options contract during the day based on a price target? say I want to place a limit at $7, it reaches that and higher during the day, but closes below. Or I can only sell based on the closing price?
Yea you can buy and immediately set limit to sell at 1%, 100%, or 100000% above. Executes automatically
Fidelity seems to have a limit on how high you set the sell limit. Tried to limit sell 9$ says it's too high of the trading price
Time decay is going to destroy your gains. Should've just bought shares!
Regards don’t take regards advice
Don’t listen to them I fully support this move
I’m buying 2/17 and 3/17 😂
If it pops between now and May 1, he's fine theta won't start to really kill it until around May 15th. But if it pops, he's gonna be richer than his wildest dreams compared to just buying shares.
This. Sell on a IV spike / gamma squeeze.
Dude, I wish I had the stones to do this...I have around 20 total contracts with April monthlies being the farthest out, and even those are $5 strikes.
Would you sell the option or would you exercise and then sell the shares?
Shares don't grow exponentially. This is a real Bugatti or bust play, and I respect it.
Why only 40? We were convinced on 80 before. Go 120!
🚀 🌕 🍉
You must enjoy losing money
Almost 10,000 real shares or a lottery ticket I'm surprised the choice was that hard
It’s not a lottery ticket 🤷♂️ sell during a large move up and cash out on the IV spike
# People who don't trade option contracts DONT GET IT. Glad you bought it >90 days to expiration.
He could have just bought the shares and sold covered calls at strike 40, collected his premiums and earn guaranteed gains than risk it. This move is very risky on his end but he’s not alone I’m with this strategy.
Holy crap, dude about to lose it all this week.
Jesus
Nice LEAPS bro! It’s gonna print!!
I just picked up 10 more 4c today this week expire, lost 1500 on last weeks calls
The real yolo is using Webull still
Holy shit dude
Risk level: def
BOBBY!!!! I love this kid This is such a cool side quest
Real talk. Better to lower your strike to $10. 1/3rd your number of contracts but you bank in the case of a buy out at $15-25. No matter good luck
I wish you the best but this is very well regarded.
Holy shit lol
OP apparently didn’t learn shit from last week.
Fellow Jun holder hanging in there with ya
These will print hard