24. Waning Volatility

DISCLAIMER: This is a simulated educational exercise using paper trading fake money. This is not investment advice and is not intended to be copied.


  • Trades today
    • SOLD -1 ENPH 100 12 MAY 23 165 CALL @.92
    • SOLD -2 YETI 100 12 MAY 23 38 PUT @.40
  • So bored I traded YETI…

Today In Review

A day of small premiums.

That was the theme today. There were plenty of contracts of interest, but basically none of them were generating what I would deem to be a sufficient enough yield vs the risk. With CPI released tomorrow, the volatility could be crazy yet the premiums didn’t reflect that.

For example, RH was flagged by the AI. But it’s an expensive stock, with not much premium, and the technicals showed risk of downside price action:

I was tempted to trade it, but decided to hold back.

Feeling itchy, I did want to get some premium today. First up was my existing ENPH position. There wasn’t much of note today, so I wrote a quick call at $165 strike while it was trading at $157. Only for $0.92 of premium, but better than nothing. I will look to close that out mid week so I can play again.


This is where YETI comes up. It was the first time I noticed it flagged by the AI. YETI is by no means an expensive stock (it was trading at $43.25), so I figured I’d give it a look. The technicals were interesting:

The RSI is very troubling, but the MACD and Ichimoku Cloud seem promising. There also appeared to be a multiple tested line of resistance around the $37 mark. I figured I may as well give it a shot, so I wrote two put contracts for a $38 strike, getting $0.40 premium each. I don’t want to own this stock, so I have a limit order to close this out at ~75% profit.

Portfolio Standings (WIP formatting)

Portfolio Value (Open)$ 99,898.00
Portfolio Value (Close)$ 99,524.00
Change (Day)( 0.37 )%
Change (Tot)( 0.48 ) %
Free Cash (Close)$ 31,941.00 
Escrowed Cash (Close)$ 51,800.00 
Equities (Close)$ 15,783.00 
Trades Made Today3
Tuesday, 9 May 2023 Report

Closing Thoughts

ENPH didn’t do too well today, so my portfolio is down on the day even though I collected premiums. I expect to close out these positions early if I can, so I’m not expecting full premiums to hold.

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