Investment Experiment - July 2021 July 24, 2021
An update in the cash building Webull experiment. VTGN offers options. ATOS calls, 520 shares. All the goodness.
Yeah it's been a while since I've posted. Stuff has happened! ATOS mooned for a bit. VTGN has options! I nearly sold an option on CBIO! I've bought some shares, sold a put. It was all happening for a few days :)
So one day I wake up to ATOS option chain offering $14 calls. So I was watching. Then just about the next day, the bid on those $14 calls is $140! I have 420 shares at the moment so I sold 4 calls that averaged $143 a piece. Insane! $572 for basically nothing. Now, the trick is in keeping them open for profit. I did long enough to buy them to close for $70 each, earning total profit of almost $300. Not bad. It turns out they would have expired way out of the money, so I missed out on that $280, but the feeling of security is worth it. Plus I'm not losing money, only losing profit.
With that $560 after selling calls, I immediately sold a $5.50 put! This was when the price was around $7. I got $90 for it. The put, it turns out, would be in the money, but I bought to close for $85, total profit of $5 :P Oh well. My $1 July 16 call expired way in the money, and I had $100 in cash sitting around so I could buy the shares. So I now have 520 shares of ATOS at $2.46 average in the books (but realistically I've made lots of money from them, it's closer to $0.85 a share), able to sell 5 calls EVERY WEEK now, since the options have moved to weeklies. Which is horrible news for one-off big trades. It'll be a long time before I can get $140 for a $14 call. And it won't be when the price is $7 per share, it'll be closer to $14. This week I sold one call on Friday expiring the same day ( 0 DTE ) and made $10 and it expired worthless.
I had also sold 2 UAVS calls when it spiked for $50 each on the $7.50 strike. Easy money.
With those profits I bought XELA shares, 200 of them, on its way up. If I held them longer I would have made out very well. But I sold them for about $90 profit. Now they're offering options, so I'm kicking myself a bit, I could be bringing in extra money on those calls.
Instead I bought 20 SOFI shares and it's dipped $4 since I bought them. I don't make good decisions. But I figure I can build that up over time to 100 shares and sell calls on that. That could be good. I do want to keep building up more shares to sell calls against, that is the goal.
At one point I was kinda short on cash in my actual bank account, and was desperately trying to sell something to bring money back to my bank account. Ultimately I ended up not needing it.
Where We Stand
SOFI 20 shares
Cash Balance: $15.20