Sold to Close 2 NVDA Long Calls

Started the day holding 6 Long Calls on Nvidia (NVDA).
With the market showing signs of overheating, I’m starting to feel cautious. Momentum feels shaky, so I decided it was a good time to lock in some profits and reduce exposure. I closed out 2 of my 6 NVDA call positions today—one purchased in February and the other in May. Both expire in December, and both delivered solid returns.

📈 Trade Summary #1

Ticker: Nvidia (NVDA)
Date Opened: 2/27/25
Contract: Buy 1 NVDA 12/19/25 $125 Call
Buy Price: $24.80
Sell Date: 6/27/25
Sell Price: $41.50

Profit per contract: +$16.70

Total Gain: +$1,670

ROI: +67.3% in 4 months

---

📈 Trade Summary #2

Ticker: Nvidia (NVDA)
Date Opened: 5/19/25
Contract: Buy 1 NVDA 12/19/25 $135 Call
Buy Price: $21.20
Sell Date: 6/27/25
Sell Price: $33.20

Profit per contract: +$12.00

Total Gain: +$1,200

ROI: +56.6% in just over a month

Some might wonder why I sold these positions with six months still left until expiration. Well, experience has taught me that when you own options and the stock pulls back, it can take a while for the stock to recover. During that time, time decay steadily eats away at the premium — and as you get closer to expiration, time decay accelerates even more.

That’s why I never buy short-term options. When I do buy long calls, I make sure to go out at least six to eight months on the expiration to help protect against time decay.

Feeling good about taking some chips off the table and locking in profits while still maintaining exposure. Will continue monitoring momentum closely for remaining positions.

It feels good putting this $2870 in my mattress!

 

📈Successful trading,

Steve

The Options Coach