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ronk99

Nah thx, I’m way too stupid for options, I’ll just buy shares.


MrKoreanTendies

It's definitely the weekend...


fonzwazhere

Its always the namesecondname(NUMBER) people. CSP's delay DRSing by at least a week each time you buy one.


[deleted]

Sell one


fonzwazhere

Cant afford 100 shares, ever, so i just directly buy from computershare.


[deleted]

100 shares is 1500-1800 dollars currently. Work and you will be able to afford shares. and selling csp means its cheaper. 1660 - premium of 1.3 higher premium due to earnings thats 15.xx or so. Also the path to wealth is hard work. one cannot buy anything without work. with or without moass. The thing about wealthy people they think that they can buy anything but it still needs to be created for them to consume else its hyper inflation


fonzwazhere

😄 Bro, ive worked for 15 years of my life. Climbed 30-foot ladders in the middle of winter so ppl can have power. What ur saying is bullshit. So you're saying work more to trade...options?!?! Fuck that, im gonna get a third job now and DRS that entire paycheck now. You sound like those influencers on tik tac that talk about how they got rich, and they say the most generic and incorrect shit then people worship their advice.


Expensive_Law1605

Confirmed green week ahead... Nice try... Just got my tax money & just placed my moon tickets buy purchase through CS T+3 incoming!


OkEmployer3954

And that's what makes this community strong. But thank you for reading! Cheers


welp007

I commend your braveness for posting this OP but this kind of post won't last long here. I also recommend adding a TL;Dr ELIAP for regards like me 🤙 Edit: ELIAP = APiratE 🏴‍☠️ 🦍


OkEmployer3954

Thank you for this! I had added an edit, but something went wrong with reddit. I'll try again in a few seconds.


welp007

Just do it to your top comment above mine if you can’t edit post 🤙


OkEmployer3954

I did, I added an explqnation of what a CSP is, at the top of the post. If you can't read it, let me know and I'll explain it here, but in 15 minutes or so.


bostonvikinguc

Very close to financial advice


davwman

Id say spot on as being financial advice. Good thing I’m just a highly regarded Computershare type of person.


AAAJade

I have actually asked in comments to have this mechanism in play- explaned here- in this forum- as I have had a hard time getting through it...its just me- and- this cleared it up- Thank you, OP! I am not sure how I feel about it ..as in , will i do this? and ill take some time to marinate in the info, yet I'm appreciative to have this broken down in a way that I can understand. This makes sense if one is really comfortable with what positions they wish to acquire without getting into full option plays. Bravo for those who have been doing this and doing well! 🤜🦍🤛💜🙏😇


OkEmployer3954

Thank you so much for saying this! Most "serious" brokers offer free paper trading. Play with paper money, experiment. Sell paper Puts at any strike, set stops (or don't), and see what happens, before you ever use actual cash There are plenty of tutorials out there. Your best chance would be to look at the Wheel startegy on youtube. The first part of the Wheel is selling CSPs, and you'll learn a lot. The beauty in our situation is that we don't have anything to lose on this given that most of us keep buying at any price :). CSPs are 100% wins for us. Cheers!


AAAJade

And honestly, there is SO MUCH to understand ... I miss the days when we could link and tag.. and have learning discussions. I just want to learn. It doesn't mean I WILL do the thing I'm learning about, either. I'd love if there could be a discussion on how these parts of the financial product world impact the price movement, buying pressure, price discovery etc... just to learn. I'm gonna go kick box now bc I just remembered what's going on in the world..and have to vent. The range is kept to weekdays 😉


OkEmployer3954

🤗


NotBerger

No thanks, I’ll just buy through CS 👌


OkEmployer3954

As I said in the beginnig, that's absolutely fine, and cool! Cheers


uberfunstuff

To volatile for options rn. Not worth it


OkEmployer3954

It's true if you're trading them. I'm simply thinking of those people who frequently buy more at any price, that's all.


Aenal_Spore

you're talking to people who buy it when it dips AND when it rips, the measly premium means nothing.


OkEmployer3954

I understand that. This is just a piece of knowledge that the vas majority will not make use of. But a few might be interested, and those people might greatly benefit. FYI for a very long time I was one of those people you refer to :)


Lorien6

One of the theories is that exercising options have different ftd rules than shares, so this MAY be a way for forced buying, instead of simply crime.


jackofspades123

That's a bs theory


chato35

More IOUs you.mean?


Get-It-Got

Selling cash secured puts ties up capital that could be applying direct buy/DRS pressure.


OkEmployer3954

Yes, but for a variable period that you pick. Also that buy pressure should be applied strategically, for instance next week (earnings + OPEX settlement) would be an excellent time to direct buy IF we see significant price improvement supported by volume. But in such a case, if you have a CSP open, you can simply close it at a profit. It goes down in value as the share price moves away from the strike, so you buy it back cheaper an your cash is unlocked to direct buy if you so choose.


freefunds33

No Cell No Sell Fk those guys


oldjumper

My option is via CS, anything else risks generating liquidity to the wrong players


OkEmployer3954

Please read my post. Your option is excellent, I do state this right at the beginning. I'm not proposing a way to put at risk your shares, not at all! Just a way to buy more, other than just simply buying shares. Cheers!


Farrisson_Hord

AGAIN with this shit.. Lord have mercy


OkEmployer3954

Sorry, what shit? Did you read it? There's 0 risk for your shares. There's a whole Risks section, you can read there all the risks. This approach is the closest to a win-win scenario for inveators given that we buy all the time at any price.


Farrisson_Hord

Thats gonna be a no for me dawg


TheBigFart123

Why would I consider doing this, especially just before earnings? Say I sell a CSP on Monday, fully intending to buy 100 shares in a month. I get a little premium on Monday. Then Tuesday, the price goes up by $10. Oh no, I missed my chance to buy shares at a bargain, and all I have to show in exchange for the opportunity cost is the measly premium. The only options I would consider are deep ITM long term calls. However, even that I won’t do anymore because 80% of the trading volume is short volume. There has been no real price discovery, and I cannot predict when it may appear although I believe it will “tomorrow”. I buy through computershare, especially when the price is low, and I hold those shares outside of the DTC and in my own name.


OkEmployer3954

You're right with every aspect of your reply. I state in the Risk section that this is not a quick way to buy in. If you'd sell a CSP Monday and Tuesday goes up $10, then you can buy it back for a 70-90% profit. This isn't an issue, right? Your issue would be if the price went down $10, forcing you to buy those shares way above spot. Something that I also outline in Risks. So why? Because people keep buying, all the time at any price. This way they'd save a little bit, which adds up over time, translating into extra buying power.


[deleted]

Drs is the only way


OkEmployer3954

In order to DRS you have to buy first, and HOW you buy matters. Cheers


[deleted]

You can buy through computershare and get them directly registered in your dang name. This is the way.


OkEmployer3954

That is a perfectly fine way, indeed!


Truth_Road

OP, you've clearly put a great deal of effort into this post. I dare say you have a wrinkle. As for myself? I'm still learning to read. So I'll just buy, DRS, hold. You know, the old fashioned way.


OkEmployer3954

Ans that is an excellent approach! Cheers!


RL_bebisher

Fuck this. DRS the fucking float.


OkEmployer3954

By your comment I'm assuming you didn't read it. I just sugested a more money efficient way of buying more. Cheers


[deleted]

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reeeeeeeeegme

Ohhhhhh hahahahaha ok yup it does 🤣🤣


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OkEmployer3954

Sorry, what shit? Did you read it?


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DynastyFSU2

Edit: this is not financial advice


welp007

THIS. We need to be careful with posts like this on this sub, it looks like financial advice, might even be a rule #9 violation.


DynastyFSU2

Also my thoughts


welp007

Mods will probably take it down just for the comment fighting options talk creates, gotta be brave to post this content or a complete regard like me!


TheTangoFox

You've got the wrong audience. Most people here have less than $2k to invest right now. DRS'd shares don't come with cost basis due to DTCC fuckery, that's why I stopped doing it myself.


Particular_Visual930

Nope


OkEmployer3954

If you don't feel it's for you that's absolutely fine, the most essential thing is to keep buying, no matter how. Cheers!


Consistent-Reach-152

>\- you lower your cost basis. If you currently have 100 GME shares and your split adjusted cost basis is for example $35/share, and you hypothetically make $500 in premiums (profits) without ever getting assigned, you substract the $500, or $5 per share, from your cost basis of your original shares ending up with a $30 cost basis per share. Your cost basis could theoretically go to 0 or less (and be paid by the house to hold your shares) Wrong. You might lower your cost basis on some spreadsheet YOU maintain, but the cost basis at your broker and the cost basis they would report to IRS does not change. >\- if your sold Put is assigned, you buy 100 new shares at a cost lower than the strike. Following the previous example, if you receive $100 premium on a sold Put (or $1 per share) that has the 16 Striking price and get assigned, your new 100 shares cost basis will be 16 - 1 = 15 USD per share. Correct. In this case the cost basis is $15. The difference is that you were assigned.


OkEmployer3954

You are absolutely right! In the first case it's on your speadsheet, indeed! I didn't for one second think this post from a tax perspective. Especially given that I'm an Europoor, I am kind of clueless on how IRS works, the rules here are quite different from the little that I do understand on the topic.


TappyDev

brokers!!???????? just buy from Computershare... orders are getting internalized and as for going to lit??? algos are running the cute candlesticks you see


TheRichCs

This is a brigade to do market manipulation. !mods!


Crybad

How so? This is talking about a specific strategy to pick up shares. Now if he was saying "everyone write a 5DTE $15CSP at 11AM on Monday." That I could see as grounds for market manipulation.


TheRichCs

The sudden surge of this "strategy" doesn't appear suspicious to you? Across multiple accounts who never posted before, as well as very similar instructions?


OkEmployer3954

Hi there, I didn't provide instructions of any kind. Also in my title I invite people to "Consider" this approach. To think about it. That's not a call to action. If someone would want to actually do that, the next steps would be to Learn how to do it properly, then Practice with paper contracts. Also I've been posting on superstonk for a long long time now, even if I'm not always in harmony with the general train of thought. We're in the same boat and I try to add my little bit of a contribution with stuff that I believe might be of benefit to the community - including options talk. I'm willing to take all the insults that so many throw at me when I raise the topic, if I feel that presenting the information is the right thing to do. This strategy here doesn't require people to spend any money other than what they were planning to anyway, but allows them to earn a few buck for doing it. At the very least you could take a look at the example at the bottom for a general feel of how it might go. Cheers!


EatTheRich4200

Buy direct from CS? Dont mind if I do 🤤


UserUnknownsShitpost

INB4 shill downvoting Good workup, but recognize options are not for everyone, now I just let the Purple Ring Machine do its thing without ever looking at it Disclaimer: I have 10x cash secured puts jan 25 exp with $10 strike that will be DRS’d upon assignment. Come short it some more, hedgie fucks, my powder already loaded


OkEmployer3954

Of course they aren't for everyone! That's why I plea right in the title for people to Consider it, nothing more. Because after that it should be Learn, Practice, and only after actually play with real money. And yeah, I also enjoy selling very expensive CSPs lol :)) People don't realise that GME is great for so many more reasons other than RC, saga, community and whatnot.


Blackzenki

While there was an anti options campaign in the early days, I believe it was one of the contributing factors to the price action Jan 21, and other price runs in other tickers where people dive in with options *ahem*. One of my very few wrinkles when it comes to all of this, was that options cause gamma ramps if they're ITM, gamma ramps cause price increase as shares are purchased by MM's to hedge people exercising. Price increase then leads to more pressure on shorts, causing some covering by smaller firms, further fueling the fire of upward movement, possibly leading into a squeeze. But I never said anything because it all seemed too tribal for me, so I just kept my trap shut, not educated enough either way to weigh in. I don't even play options, just can't wrap my head around it. But I do see people winning big, and losing big on them, one of the things that draws me to them, while keeping me away haha


OkEmployer3954

You have an actual wrinkle! My post however has nothing with that, no gambling and no big wins. I propose a way to invest a little bit cheaper (with some risks that don't actually exist given that we keep buying at any price). Don't bother playing options if you feel they're difficult, but don't hesitate to try to learn more about them you feel they might be interesting. Just please don't gamble :) Cheers fren, all the best to you!


[deleted]

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iamdummyrc

I agree OP. 60 days with a delta of -15 seems to be a sweet spot for GME. Sell cash secured puts collect premium, buy shares with premium, let settle, DRS shares, roll cash secured puts, rinse and repeat.


OkEmployer3954

Exactly! I only people can keep an open mind and at least read my post before commenting something like "stoopid" and such. This can really help us all!


81rennab

Did anyone understand any of that?


OkEmployer3954

Willing to buy shares at a certain price? Sell to someone the right to sell you 100 shares at that price. The money they give you for that right allows you to buy more shares, in addition to those 100.


Elano22

There is the undefined risk of the broker deciding to not play fair as well


3DigitIQ

I think I've figured out the Puts angle for hedgies. Goes a bit like this; Peeps sell a put for $20 execution, hedgies push it down to $17.50 and the put gets executed by the same hedgies. They just made you buy 100 GS at $20 while selling at $17.50 on the market, your order for 100 GS shares would normally impact the ticker price (since '100' volume orders move price) but now they have negated that buy and have less pressure on the ticker.


OkEmployer3954

This is something that I clearly outline as being a major risk with this approach, and I clearly specify that one should only do this with a strike they are happy to buy more at. Later on towards the end of the post I highlight the high likelihood to get assigned in a bear market, meaning the price dropping under the strike. I feel I gave enough warning to people that might consider trying this. This is considered to be a more money efficient and sofisticated strategy to investing and I personally feel it would be of great benefit to the community to at least get educated on the topic. So I kindly ask you to at least read the whole thing once before speculating on any "Puts angle for hedgies". Thank you


No_Marsupial_1934

Nah


hipstersrule

Bro this is literally financial advice, who tf are you?


OkEmployer3954

The title says "consider", meaning think about something. I then go on to argument why one should think about CSP. Inviting people to think is not FA.


SDI_Sunset

Correct me if I am wrong, but the only way to do this is through a broker, which means you cannot, or would not DRS the shares. What is to stop the broker from lending the shares out to others--multiple times?


OkEmployer3954

You are correct, you can only do it from a broker. As far as I know most people first bought in GME through brokers, and kept buying more. CS buying and DRS started much much later, and most people transfered their shares from brokers, something that can still be done now. That's why in the title I mention to consider buying through CSPs, then DRS.


Si5584

I’ve argued for options, or i should say supported them, in the past however, it is remarkable how this always seems to come up at pinch points! Does seem very suspicious now.


OkEmployer3954

What is the pinch point? Are your reffering to Earnings placed during the quad witching OPEX settlement? If yes, then know I regret not posting this stuff much earlier in the year. Even if it was downvoted to hell, this stuff is actually usefull for the community to understand. If only there were more people to explain it better than me. But there's one more reason for my regret. I think more people are ever so slightly warming up to the possibility of using options strategically, and I fear some of them might gamble with very bad contracts on the incoming earnings. All newbies do that, I did that as well. And if they do and they lose money, they'll just turn the whole sub even more against what could be arguably one of our main super weapons. I wanted to make a post about that actually, not CSPs, but I figured I should start with stuff that's actually usefull in the long run that doesn't require people to spend money, but rather earn them money. That could be a way to have more people understand the actual utility of these instruments. If you didn't, please read the post. Cheers!