3 Options Movement

 Closed my Futu options, making $22.

Main motivation is that I want to close that account.

Very dissatisfied that they still do not have Cover Calls functionality.

Also closed my Nio position in TD.

Price of Option was $5, initial premium was $64.

So made $59, which is 92% of the premium.

Opened another Nio position for next week for $50 premium.

 

How much damage from IG

 lets say FCT goes to S$2k, I will need to have S$4k to sustain

if Tesla drops another $200, 200 * 40 = $8k. $8k * 1.4 = S$11k

So I need S$15k to defend that account.

Hopefully the scenario of both crashing does not happen.

I am trying to use cash to experiment with options now.

There is ard $3k available funds, so need S$12k to defend.

If not, will have to sell my silver or liquidate some Singapore shares.

Defense game

 

I have to take note of my IG now

Both shares seem to be shaky

initially I have the thinking that they are quite contrast of each other

Singapore share is more of the stable one

but today it dropped too

sold 2 FCT here

and bought 2k FCT in PEOMS account

like transferring 2k there

PEOMS also had 3k of capitaland

which will restructure and return total $3k to me

if I can defend it, I get to hold on to $290k of Singapore shares to post covid.

very good for my target of $300k dividend playing stocks

which gives me around $1k every mth

Nio position with TD

 Finally managed to activate my TD account again

previously was unable to trade

Have to call their customer service to help sort it out

The best thing about TD is that now I can do the wheel strategy

I sold Puts with strike price 36

even though it is close to the current price of 38,

I do not mind as much to hold onto the shares

as I can sell calls too

and at SP 36, it is around 30% delta

which is recommended by kelvin

as the risk reward ratio is better

I still have 2 positions in Futu account

But I will not sell them first

I will close it soon and bring the money to TD

it is disappointing that they have not yet enabled cover calls there

I will also restart the tracking of option transactions

as I feel it is now the real beginning

and tracking is important, as this TD account is also for my long term trades.

Forgot to add

the premium is $64 and expiry is on 27 Aug

Sold another Nio Puts

 

Sold another Nio puts

Expiry 17 Sep

Strike price @$30

Premium is $45

I bought it partly because I thought it will not go thru

But I think you can borrow to sell puts

Lets see how it goes

Also not the image on the right

make sure when you are selling puts

there is a P there above the blue line

I nearly bought a Call

Option funds and 1 more FCT

 Bought 1k FCT at $2.35 with Peoms account using share financing

Using the value feel months ago of $77k to be more conservative

Buying the FCT will increase debt to around $25k

Stress testing a 50% drop, the share value becomes around $38.

25/38= 66%, still below the 70% max for share financing requirement.

So this 1k share of FCT is good

and also brings my total holdings to 18k, nice number.

also contemplated adding more funds to buy options

But I need to keep calm

even though stocks are on discount now.

due to Taliban take over of the country.

I did not put more money into options

as my IG account may take a hit, and will need back up cash to support it.

Currently there is still a buffer of around $3k in the IG account.

First option lost

 

Closed my first option of NIO as it was approaching the strike price of $41

think I will change strategy

to be more conservative

Look at the chart, and ask myself

what price then I will want to own that stock

for me, if NIO is $35, then I think I am ok to buy them

after looking at the charts

After having the price, then look at the options

the premium of 3 Sep option is $39, and week before is $21.

so it is a jump of around $18

the week after is $52, so the jump is only $13

therefore, 3 Sep premium is more value for money.

From some advice from youtube videos on options,

one of the traders close the option when he gets around 75% of the premium

so that he can free the fund to buy another option

I shall take note of that.

First option

 

Bought my first option with NIO yesterday

pretty good price, got $50

today i check again, the premium is only $10

Sold Caesars

 

Close Caesar position

looking at the hourly chart, there is strong resistance at 92

also lost interest in trading

and bet a wrong position for that trade too

if lost will cost me 100

5 times more than what i should trade

recently i have been looking at options

will conserve money until i am more sure of what to do

Bought Caesars

 

Bought 10 Caesars

Similar to the previous trade, there were 2 bullish price actions

1 long pin, and another engulfing at the 200 SMA

Stop loss around 81, take profit around 103

win loss ratio around 12:10

Sold JPMorgan

 

Sold all 6 of the JPM shares, as it has reached the next resistance zone

Trade JP Morgan

 

Bought JP morgan, daily candles

there are 2 bullish price actions.

set stop loss at 1.48

it is sloping upwards too

level of significance at 150 SMA

More FCT

 Bought 2000 more FCT @ 2.4

2019 dividends is around 0.12, so its 5% div yield.

I am thinking if I am too greedy

Some reasons for the purchase

it is one of the last stocks with discount

A REIT has been increasing recently, to 3.13.

The no of infections is trending down gradually

the Tesla in my IG account recently broke through a resistant line

and there is a chance it will rally strongly

before today, there are 13k shares of FCT in my IG account, make it 15k as 13 is not a very good number

Capitaland is going to be restructured into something else, so my investments will be slightly decreased

Closed AMD

 Closed the AMD trade

Saw 15 min candles, there are many crosses formed

Like some indecisiveness

AMD Trade

 

Decided not to use 15 mins candle

as the commission takes out too big of a proportion

So I will try out 1 hour candles

Bought 10 AMDs when there was a long pin

Sold 5 when it reached around 108

May sell the other 5 when it reaches close to 110

The selling price is not that obvious to me, as it is at a high

and there is no resistance I can take reference.

When I trade, I try to understand the purpose of what I am doing

I am looking for a potential high energy bull run