The year 2022 made some investors nervous, some angry, and others sad and that’s understandable. But some companies lost a lot of value. At one point, AMZN lost more than $1Trillion! Welcome to Grave New World! Click on the image to read more. But Be optimistic. Things will get better soon.! Happy New 2023!
In May this year, fearing that Putin may go crazy with weapons of mass destruction in Ukraine, I decided to stay away from investing. I was right, but for wrong reasons. I would file it under ‘got lucky’ column. So on October 27th, when Facebook (called META nowadays!) fell by more than 25% and lost about 80 Billion$ in market cap, I thought I would sell some puts. I sold Oct 28th $95 puts. Thankfully, META stayed above $95 and I got to keep the premium. But by Nov 3rd, it fell to $88. I’m watching it carefully even as it reaches $113 on Nov 11th. I’ll make a decision about buying some this week. Facebook fell from $350 to $88! AMZN fell to $85 from $188 and GOOGL to $83 from $151.
The indices I watch SPY, QQQ, and FAS are at interesting levels – they are approaching pre-Covid levels but not there yet. Does this mean these indices won’t go down further? No. They may. Also, interest rates are coming down a bit. So I have decided to carefully and sold the following puts.
Sold 20 TQQQ June 17, $21 Puts – $0.71
Sold 20 FAS June 17, $60 Puts – $0.72
Why $21 strike price for TQQQ? That was the price it was selling in Dec 2019! I’m willing to buy TQQQ at $21.
Why $60 strike price for FAS? That’s was the price it was selling in Oct 2017! I’m willing to buy FAS at $60!
I’m willing to buy TQQQ at $21 and FAS at $60! Remember my discussion on time travel? But why June 17th? Travelling to mother India on 16th! Let’s see how these trades pan out. Good luck!
I stayed away from the market in Dec and Jan. Here are my trades for Feb. I’m not sure what’s going to happen in Ukraine. So going to stay in cash and away from investing till end of June.
Sold 5 puts – FAS strike price 110 for Feb 4th – $450 – Expired.
Sold 3 puts – FAS strike price 120 for Feb 11th – $390 – Expired.
Sold 5 calls – FAS strike price 130 for Feb 18th – $2000 – Expired.
Sold 5 puts – FAS strike price 85 for Feb 18th – $950 – Expired.
Sold 5 puts – TQQQ strike price 35 for Feb 18th – $700 – Expired.
Sold 20 puts – SPXL strike price 70 for Feb 18th – $1400 – Expired.
Back to selling naked puts! But traded on FAS for fun. Here are my trades for Dec.
Bought 200 FAS at $124.00 and sold at $126.60.
Sold 10, Jan 22, TQQQ 60 puts for $1.70 & Bought it back at $0.03. Any idea why?
Sold 10, Jan 22, RIVN 70 puts for $3.30 (too attractive to pass)
Sold 10, Jan 22, RIVN 55 puts for $1.45 (too attractive to pass)
Sold 10, Jan 22, PTON 35 puts for $1.40 (just experimenting)