Yeah, MSTR has gotten me a few times with the volatility. Yeah, the iBit premiums have dropped a bunch since I looked last.
I have been playing MSTR on the options selling strategy and have absolutely KILLED it in the last few months. Still have 200 shares I am playing on, but if I end up getting executed, that's fine because I want to go back to poor man's covered calls so I am not having SO much of the capital taken up on a couple of contracts. Need to spread out the risk a bit so I am not so heavy in that one stock. Will probably move that strategy over to NVDA and TSLA.
Went ahead and sold a short term covered call for this week at 56. We'll see.
What are your rules for setting your covered calls? I always watch supply and demand zones and also heavily rely on the delta. I generally pick something in the .30ish Delta range. Basically the market saying there is a 30% chance of this executing.
I normally go in the 0.2 ish Delta range, but I don't really have any rules. Just wing it.
I know, I know. I really should get more formalized on that.
I used to be primarily a dividend stock holder and would run something akin to the wheel strategy, but switching to more volatile stocks is a bit foreign. I basically decided this past year to put my IRA all in crypto-related entities. Started out with ETF's. Premiums are definitely better though.
I don't have enough money in the IRA to roll on MSTR (unless the introduce mini's), but I just thought today that I will see if I can find a list of MSTR copycats that may have lower prices and try on one of those.
Have a feeling it will take a while to get used to.
I am trading for my family's hedge fund. We have a big dividend account on M1 Finance that we use as a bank. We can do margin loans against it, which is what we used to build up the options trading account. I have been riding this MSTR wave for a while, I mean, got to get the opportunity while it's there. I get paid on the profits of the options premiums I earn from selling options and we are also using profits to put into our homestead farm business. I am taking my earnings and using some, but investing in miners and modular off-grid solar setups to power them. This will earn me crypto that I can use to buy silver from APMEX or JMBullion. I then play the silver/gold ratio and when the ratio drops to a level I like, I will flip silver to gold. In the meantime miners keep mining DOGE/LTC and XMR and I use that to buy more silver, etc. It's easy to write off the miners as computer equipment, lol.
Wow! That is quite the operation!
Yep, my little money machine, lol. I use fiat and crypto to earn heavy metals, lol
I am running options on MSTR, NVDA, and MARA right now. I am wanting to diversify some risk. My NVDA option looks like it will be executed this week if it holds above 140. So I am going to get that 14K back and start doing more poor man's covered calls on some different stocks without risking so much capital but still making more than I would with the 1 NVDA contract. When one of the MSTR contracts or MARA contracts executes and I get those funds back, I am going to do the same. Basically 50% of the options will be against the actual stocks and the other will be against leap options. That's the plan at least. I have been tweaking it as I go along. But it's been working... That's all I can say, lol.
Hmmm. I found a list on the web.
https://treasuries.bitbo.io/ https://treasuries.bitbo.io/#public
Will have to look and see what these companies are up to and which ones have options with some premium.
HUT8 seems like one with options that is low priced enough for me to expirement with.
Oh right on! Thanks for that!
I heard that rumble was buying BTC and they have options as well and a fairly low price that I could swing within the IRA. Didn't see them on that list.