cmacwaves on Nostr: If you have enough to buy the stock you can write naked puts instead and generate ...
If you have enough to buy the stock you can write naked puts instead and generate pretty ridiculous premiums.
I do like the covered calls on owning MSTR you’re using as you capture the upside on stock price.
Close to the money puts are producing 4-5% for 7-9 day contracts.
Or 30 day expiries 1 standard deviation below (so 70% chance roughly stock doesn’t get assigned you could go 2 SD to make it 97% chance it doesn’t and it still pays nicely) is making 8%…pretty insane.
It’s all just fiat mining on derivative volatility but it’s underlined by a levered play on the worlds best performing asset, so what the hell right?!
Published at
2024-12-29 18:33:26Event JSON
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"content": "If you have enough to buy the stock you can write naked puts instead and generate pretty ridiculous premiums. \nI do like the covered calls on owning MSTR you’re using as you capture the upside on stock price.\nClose to the money puts are producing 4-5% for 7-9 day contracts.\nOr 30 day expiries 1 standard deviation below (so 70% chance roughly stock doesn’t get assigned you could go 2 SD to make it 97% chance it doesn’t and it still pays nicely) is making 8%…pretty insane.\nIt’s all just fiat mining on derivative volatility but it’s underlined by a levered play on the worlds best performing asset, so what the hell right?!",
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