Sold NVDA and TDW calls
As if the past few days of $1000+ losses weren’t bad enough for me, NVDA took a nose dive pre-market today and never recovered. It closed the shortened trading day down 30%. They took a major charge for a production glitch and piled it on by lowering quarterly sales forecast.
I am sitting on four August 17.50 naked puts which, in all likelihood, means I’ll own 400 shares on or before August options expiration. Not seeing a chance for a near-term rally in NVDA I sold naked calls to try to lesson my loss. As my experience with NVDA went last time around, I’ll be chasing this profit for a while before exiting. While NVDA was trading at 12.66 I sold four NVDA August 15 naked calls (UVAHC) and received $187.00 after commissions. If something amazing happens and NVDA climbs above 15 before August 15th I’ll take a loss of approximately $450 on it. If […]
Original post by Alex Fotopoulos