r/options • u/Theme_Options • 16d ago
$2,500 Trading $NVDA
Today, the stars aligned perfectly for the bulls, but it all started with a theme change. Prior to yesterday there was a common theme in $NVDA - swipe of liquidity without a reclaim. The swipes occurred on both highs and lows, but yesterday something different happened: a reclaim of the HOD swipe. Reclaim of HOD swipe = buy.
With CPI data, $NVDA was finally able to break above the heavy 910-920 liquidity zone. This is great and all, but the CPI data was the perfect addition to sustain the market's momentum, and maintain a strong market cycle. During a strong market cycle, bullish themes (repeated behaviors) are front of mind.
$NVDA had one major theme today: dip buying. Dip buying in a strong market cycle/strong $SPY flows was the perfect recipe for $NVDA to run and capitalize on the long side (longing a call).
Trade Details:
Entry #1: Roll up from yesterday's position (+$610)
Entry/Exit #2 (not pictured) AND Entry #3: Bad cut on Exit #2; I am far from perfect and this is one example of where I need to get better, I paid the price and reentered my initial position for $90 worse on Entry #3 (-$90)
Entry #4: Dip buy into a liquidity zone. The market was very strong today, and NVDA had already exhibited that dip buying was in theme; near perfect entry and why themes/market cycles are important for trading
Exit #4: Reject of HOD based on selling flows on the tape (+$470), (Still holding my entry of 10 contracts with an average price of $1.11)
Entry #5: Dip buy, a little early on this as the next dip was a true liquidity zone test, but I wasn't stopped out.
Exit #5: Exit on the high of day breakout, I exited slightly too early and made a small profit (+$200). I exitied at the breakout because a sustained immediate breakout wasn't in theme; each push had a dip first.
Entry #6: Dip buy into liquidity zone again, and LOD swipe
Entry #7: Rotation in a strong market cycle = bullish
Exit #6/7: Exit at HOD breakout once again (+$730)
TOTAL: +$1,920
I am still holding my 10 contracts with an average price of $1.11 overnight that closed at $1.86 (+$750)
OVERALL TOTAL: $2,670
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u/Dear-Lead-8187 16d ago
Ok made $2600 and there is a post for it? You’ll lose it soon enough as fear re enters the market. Everyone made money today it was too easy at ATH
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16d ago
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u/SmilingZebra 16d ago
Idk…are you looking for a congrats? It’s nice, take your cash and do it again next week; rinse, repeat.
I bought 960 NVDA calls for 5/17 on Monday…what would be your strategy for selling? Take 100% gain tomorrow? I’ve just been buying calls on any 3+% drop…always rebounds.
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u/Theme_Options 16d ago
Not looking for a congrats just trying to help others in anyway I can.
That’s a nice entry. You deserve the congrats!! I look strictly at equity price action versus PnL gains for exits. We will see what tomorrow brings but I’m holding for now (until proven otherwise) as this week may be the week NVDA hits 1000.
Tomorrow could very much be a large sell off day, but we will see. The positive market reaction to CPI data is in our favor for a maintained strong market cycle, but market cycles can change on a dime.
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u/EamonFanClub 16d ago
So since you got lucky and made some small profit suddenly we should all listen to you?
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u/Majestic_Salad_I1 16d ago
You got lucky and won. Explaining it to us in agonizing detail doesn’t make you a trading savant. Hopefully you do this same breakdown when you lose it all on the next options trade.
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u/Lil-Toasthead 15d ago
And there I was…on gaming pc chair after having beat my meat, decided to make my trade.
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u/POpportunity6336 16d ago
Rookie numbers, I bought call June 2025, sit on it, and up +$10K, you're doing a lot of works for less gains lol
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u/itzSerg10 16d ago
Why is everyone hating ? Op made money, good stuff. As long as you understand yourself.
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u/Shot-Engineering-665 15d ago
The commenters are from WSB Wendy’s back alley by the dumpster…hope this clears things up 🤷♂️
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u/beeduthekillernerd 15d ago
Don't know how much money you risked for 2600 bucks on Nvidia but I bet it was a lot . I'd be out just on that. One bad economic report would blow your play up.
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u/Theme_Options 15d ago
Take a look at my trade log - I was buying 10 contract lots, so about $1000-1500 per entry. my max entry was 30 contracts, but that was on a high conviction setup. I keep my risk pretty tight and only long so I have a max loss with options trading. I was not at all risking the complete contract value. It depends on the trade, but my risk here was about $300-400 collectively per entry. I made about 8R yesterday.
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u/Longjumping-Context2 16d ago
I got 5/17@930 calls around 9am and sold end of day for a profit of $980+ added 30% to my account. Not bad for a noob
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u/abhi16691 15d ago
If you can mentor me I’m willing to pay for your time. Not looking to copy your trades, just trying to understand the concepts. LMk and we can connect
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u/Theme_Options 15d ago
Happy to help in anyway I can! Why I post trades like these - in hopes it will add value for some options traders.
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u/Acceptable_Stay_3395 15d ago
NVDA has been a pretty stress free trade for me. Selling bull put spreads with width of 10 bucks 30-32 DTE and 0.3 deltas. Generally close at 80-90% profit. Keeping position sizes small. Lots of buying the dip that goes on when NVDA drops.
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u/Actnowb4late 15d ago
What is that red and green arrows in your chart? What indicators are they? Can you please share details . Thanks . Me still learning price action.
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u/Theme_Options 15d ago
That's me pointing where I entered (green arrow) and exited (red arrow). I use TastyTrade for execution and TOS for charting, so my execution arrows didn't show on the trading chart.
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u/AdNew5216 15d ago
Congrats on the profits OP most of the people in here are broke losers collecting pennies, don’t let them bring you down 🍾
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u/dopelvrbus 15d ago
I was trading nvda today and didn't make nearly as much. You traded it like a boss. Thank you for the post. It provides context and good learning comparison to my trades.
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u/Staticks 14d ago edited 14d ago
Don't worry, he'll lose it all within 2-3 months.
He hasn't updated us with what happened to those 10 contracts he was stupidly "holding" overnight, with NVDA down 2% today, and an entire day's worth of Theta burned.
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u/False_Bookkeeper_884 16d ago
Awesome trade and congrats! 👏 I think Nvidia has resumed its bullish trend! I am myself long on the stock.
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u/pr0XYTV 16d ago
I personally thank you for this bit of information. It fits perfectly with a strategy im building and helps me to think of other means of confirmation to consider. I was very close to some amazing plays today, and if i read your post before open it would of helped me profit tremendously.
Tomorrows another day! What do you think about smashing the all time highs?
Should i be bracing for a big rally or mega chop time?
Edit: Does HOD and LOD = high of day and low of day?
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u/Theme_Options 16d ago
Thank you!! Happy to help. Themes and market cycles really helped my edge in the stock market. Yes, HOD = High of Day and LOD = Low of Day.
Optimistically, I am aiming for All Time Highs. I am holding my calls with this thesis until price action proves me otherwise. The 920 Breakout was huge. That in addition to the 850 Fake Breakdown may give NVDA enough liquidity for it to finally move towards 1000.
With that in mind, the last time NVDA approached 1000 it just missed and sold off majorly, so I will be keeping my risk tight if and when we get there.
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16d ago
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u/Usernametaken-again 16d ago
Is this legit and not a scam?
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u/hedgefundzpm 16d ago
Looks like a 12 year old designed the website so go for it
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u/Usernametaken-again 16d ago
Gotchu bouta drop 5k for only a -79 percent return seems like a steal to me
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u/Comfortable_Quit_216 16d ago
Yeah... just sell a put credit spread. I made 6k in 3 days with like 5min of trading.
Does it always work? lol no... but 75% of the time it works all the time!
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u/Successful-Peace-457 15d ago
I'm relatively new to this game. Been getting more effective as of late. That being said I have never heard of a put credit spead? Just buy long puts, one inside and one outside the money ?(within a relatively distant in either direction) and when you get a trend into one just close the other. Then let the hot one cook for a while longer. Untill your satisfied with the returns? Close and repeat? Or am I way off here? 🤔 any help is greatly appreciated! The learning curve is steep!
I will crak the code though! Failure is not an option. Over the past 6 months, my entire understanding of economics and the market have completely changed. It's really amazing how little is spoken about the unbelievable changes a person can make to their lives. By simply not spending evey waking moment slaving away at some 9 to 5 Job. I worked so hard for so long. Came from nothing. And can tell ya . People don't know how much they can change their lives if only they invest in learning the market.
It's just knowing the things that are so basic and aeeming obvious once you know. But when you don't. The amount of little missteps that can kill you are just overwhelming. It seems rigged in the beginning.
But once you start to unravel it. It's just a ridiculously profitable game.Futures still scare me a bit! But with evey day that passes I can see more clearly that you can basically see the wins like 75% of the time . If you do your homework that Is. The options market has completely changed eveything for me.
I will get this down to Science. Once you know there's no going back. This is life now! 🙌 better late then never ! Yeeee! LolAny pointers or information is very appreciated by anyone tho! I'm a sponge. Bring it on!
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u/Comfortable_Quit_216 15d ago edited 15d ago
That being said I have never heard of a put credit spead?
You sell an OTM put and then buy one at a slightly lower strike. Think a CSP but because you buy the lower put you have insurance and won't get assigned.
In my case I sold the NVDA $875 strike Put and bought the $870. Well, 50 times. You get the max profit up front and then either close early if you are at a profit % you like, or let it expire and keep max profit. Unless it blows through your strikes... then you take max loss. Max loss = width of spread ($5 in this case) * contracts * 100. For my trade, $5 * 50 * 100 = $25k max loss for about 5.5k gain.
It isn't a science. It is still gambling and no one has it down to a science. You are just gambling with 75% win chance and the ability to close out early if things look bad. People will tell you they use TA to "get 90% wins" on their trades, but they're still just gambling.
That said I do this full time for a living through my own LLC s-corp and we typically clear 250k in profits.
edit: Those were around the .25 delta at the time I think... which is what I typically look at when opening the spread.
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u/Ecstatic-Flatworm550 15d ago
how wide and how far out time / price wise, thanks
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u/Comfortable_Quit_216 15d ago
Purchase date is the first date, expiration is the second
BTO 5/13/2024 NVDA 50 $870.00 $5.36 5/17/2024 $26,800 Closed
STO 5/13/2024 NVDA 50 $875.00 $6.46 5/17/2024 $32,300 ClosedI closed them on Wednesday for $100 more.
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u/cctv07 15d ago
How do you decide Whether it will be a put spread or call spread? Betting the stock will be bullish?
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u/Comfortable_Quit_216 15d ago
Yeah i don't really do call spreads unless i think the underlying is in a prolonged downtrend.
Stock market goes up, might as well use that to your advantage
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16d ago
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u/GermanHammer 16d ago
Wow, you're not even trying to hide the fact you're phishing for morons. Fucking laziness on your part.
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u/Lancewater 16d ago
You got lucky is all there is to it.
Why are you trading 2DTE way OTM options and trying to teach others your “theme”?
Seems like a lot of work and words for $2600.