[Update] Lost over $139,985.82 selling naked calls on $TSLA last week

by stormwillpass

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Just an update since everyone thinks I’m dead after TSLA went ballistic last week. No, I’m still alive and still selling options on TSLA.

Sadly I closed those naked calls on Tuesday last week and did not benefit from the the complete reversal on Wednesday. That 69k day loss would have been no loss plus a gain if I were to have held til Friday. However since I was way over leveraged and had negative 113k option buying power that morning, I don’t think riding it out would have been a good idea. Shit could have continued up for all I know, and that would have deepened the losses. Life goes on. I could have moped and stayed home, but I actually went out to the gym soon after market close, and then the grocery store afterwards. Still have to eat and workout, even though it was the worst trading day of my life.

The lone Feb 21 $480c was nearly a reverse 100 bagger when I closed it. Quite possibly the WSB record for a reverse bagger, not that anyone would want to break it. Sold for $4.50 credit, bought back in the $410 range I believe ($40k loss on that strike alone).

My goal is to get back to even on the year on TSLA alone. I won’t give any updates until I get there (if I do). Similar goal is to get back to positive for the year overall even if I don’t quite get there with TSLA. Will provide an end of year update. I’m sure you can get an idea of how I’m doing based on my post/comment volume. I tend to turtle when shit is going bad in order to focus on trading.

Despite TSLA only moving 0.68% Tuesday 2/11 (yesterday), I happened to capture $11.6k due to the nature of being short vega and benefiting from a drop in volatility:

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Let me know if you have any questions or concerns. If you’re going through a hard time or similar losses, remember that it isn’t the end of the world. It’s a blessing and privilege to be able to trade. We once started with nothing. Money comes and goes, and it’s not the most important thing in life.

 

 

Disclaimer: This information is only for educational purposes. Do not make any investment decisions based on the information in this article. Do you own due diligence.