r/thetagang
CHIPs revenge trading, 88.9% winners
Theta gang member reports huge weekly profits selling premium on NVDA, MU, and INTC, praising MU's exceptionally high options premiums.
- High implied volatility in semiconductor stocks provides exceptionally lucrative premiums for options sellers.
- Underlying stock prices are trending upward, allowing cash-secured puts and covered calls to expire worthless or be bought back at a profit.
sometimes the chip market cooks me, and sometimes I cook the chip market. These PUTs/CALLs that ive been opening over last few weeks hit well though! Looks like its time for a steak dinner tonight!!! 🥩
so this week was actually pretty solid, been selling premium right at the money basically every day into the jun 12 weeklies and just scaling out of stuff as it decayed. NVDA i keep wheeling cash secured puts around 205, let the 205p ride into friday and it expired worthless for like 920ish, and i bought the 200 and 202.5 back earlier in the week once they melted, grabbed another 277 and 344 there, nothing crazy but it adds up. MU is honestly where the money is rn, those weeklies are paying close to a grand a contract which is kinda nuts, closed the 700p for +950ish and the 690p for +757 and let the 695p go to zero friday for +986. INTC i actually own 200 shares (got in around 95 and its like 124 now so the shares are way up on their own) and im just selling covered calls against them, theyre paying 400 to 500 a pop which is wild for INTC, bought the 133c and 130c back cheap midweek for +741 and +795 and the 132c just expired worthless for +965.
wasnt all green obviously lol. INTC ripped midweek and ran right into my 128c so i had to buy it back for a 333 loss, kinda annoying but im still up huge on the shares so whatever. had a couple quick trigger finger losses mid week. net it came out around +5,972 for the week, 9 winners 3 losers, fees were basically nothing. im basically selling right at the money every week at this point and just managing the losers when they go against me. anyone else seeing these MU premiums or am i crazy.
not financial advice lol
note:
dont pay attention to "unrealized gain" number, its sort of skewed even though I have it set to last 7 days because its just open positions still. I mostly just pay attention to my realized gains reporting.
anyway heres the recap for the week:
mu 695p expired +986
intc 132c x2 expired +965
mu 700p closed at .92 +950
nvda 205p x2 expired +925
intc 130c x2 closed at .38 +795
mu 690p closed at 1.18 +757
intc 133c x2 closed at .41 +741
nvda 202.5p closed at .43 +344
nvda 200p closed at .34 +277
nvda 197.5p closed at 4.18, 143 loss
mu 685p bought back 10.84, 293 loss
intc 128c x2 bought back 5.93, 333 loss
net +5,972, 9 green 3 red
MU premiums are insane right now, you're not crazy. those weekly spreads on memory stocks have been printing like crazy the last month or so. quick question though, when you're selling ATM every single week and you catch a whipsaw like that INTC 128c, does it ever make you want to tighten your management rules or do you just accept that as part of the game at that volume.
No AMD? Either way, well done. Love the MU strikes
damn, brother you are trading some risky names here, but well executed...! how long you been doing this? do the MU whipsaws ever make your stomach churn?