Yesterday I sold a 10 contract Call with Nvidia (NVDA). The stock was in the $300 area and I sold 10 contracts of the 1\/7\/22 $315 Calls for a premium of $2. This gave me $2000.<\/p>\n
Today the stock dropped a little after the open. The premium came down to 85\u00a2. Since this stock is very volatile, and it’s only Tuesday, I decided to get out of the position for the $1150 profit. That’s a great profit for a 1 day trade.<\/p>\n
<\/p>\n
1\/3\/22 \u2013 Sell to Open 10 NVDA 1\/7\/22 $315.00 C @ $2.00 (+$2000)<\/strong><\/p>\n 1\/4\/22 \u2013 Buy to Close 10 NVDA 1\/7\/22 $315.00 C @ 85\u00a2 (-$850) <\/strong><\/p>\n <\/p>\n For you new traders I sold the Call for a $2000 premium and I did a “Buy to Close” spending $850 for a profit of $1150.<\/p>\n Why did I do this? I feel the stock will bounce back and I’ll get another Call sold to bring in another premium. If it doesn’t bounce all the way back I’ll look to sell a $310 Call and not another $315. The $310 will give me a larger premium.<\/p>\n The reason I didn’t sell a $310 Call in the first place is because when I sold the Call I sold it Naked. I have since bought 1000 shares of the stock to cover.<\/p>\n There are so many moves you can make when trading options. You must learn the mechanics of options before you work on your strategy.<\/p>\n Another reason for my move today is I love to lock in profit.<\/p>\n <\/p>\n Successful Trading,<\/p>\n Steve<\/p>\n The Options Coach<\/em><\/p>\n <\/p>\n","protected":false},"excerpt":{"rendered":" Yesterday I sold a 10 contract Call with Nvidia (NVDA). The stock was in the $300 area and I sold 10 contracts of the 1\/7\/22 $315 Calls for a premium of $2. This gave me $2000. Today the stock dropped a little after the open. The premium came down to 85\u00a2. Since this stock is […]<\/p>\n","protected":false},"author":1,"featured_media":0,"parent":0,"menu_order":0,"comment_status":"closed","ping_status":"closed","template":"","meta":{"jetpack_post_was_ever_published":false,"footnotes":""},"class_list":["post-13025","page","type-page","status-publish","hentry"],"jetpack_sharing_enabled":true,"jetpack_shortlink":"https:\/\/wp.me\/P75MP0-3o5","jetpack-related-posts":[],"_links":{"self":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/13025","targetHints":{"allow":["GET"]}}],"collection":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages"}],"about":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/types\/page"}],"author":[{"embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/users\/1"}],"replies":[{"embeddable":true,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fcomments&post=13025"}],"version-history":[{"count":1,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/13025\/revisions"}],"predecessor-version":[{"id":13026,"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=\/wp\/v2\/pages\/13025\/revisions\/13026"}],"wp:attachment":[{"href":"https:\/\/www.mainstbeatswallst.com\/index.php?rest_route=%2Fwp%2Fv2%2Fmedia&parent=13025"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}Profit +$1150<\/strong><\/span><\/h4>\n