Tracking My Recent Stock Purchases--#GOOG,NVDA,RGTI

 I've recently made several stock purchases in my individual and Roth IRA accounts. Keeping a detailed log of these transactions is essential for managing my investments effectively. Here’s a breakdown of the stocks I've acquired this January:

Alphabet (GOOG): Betting on the Search Giant

I've always been impressed by Alphabet's dominance in the search engine market and its innovative ventures. This week, I made three separate purchases of GOOG:

1. On January 13, I bought 0.13114 shares at $190.63 per share.
2. On January 14, I made two more purchases: 0.35352 shares at $192.35 and 0.30139 shares at $192.44.

In total, I've invested $151 in GOOG, acquiring 0.78605 shares. The slight price increase over these two days shows the stock's current positive momentum.

NVIDIA (NVDA): Riding the AI Wave

NVIDIA has been at the forefront of the AI revolution, and I wanted to get in on the action. My NVDA purchases were:

1. On January 7, I bought 1.36064 shares at $142.41 per share.
2. On January 10, I added 1.47743 shares at $135.37.
3. On January 14, I made a small additional purchase of 0.07384 shares at $135.42.

My total investment in NVDA stands at $403.77 for 2.91191 shares. The price drop between my first and second purchases allowed me to average down my cost basis.

Rigetti Computing (RGTI): A Quantum Leap

In a slightly more speculative move, I decided to invest in Rigetti Computing, a company at the cutting edge of quantum computing. On January 7, I purchased 8.08758 shares at $17.93 per share, totaling $144.97. This investment was made through my Roth IRA, potentially allowing for tax-free growth.

Reflections on My Strategy

1. Diversification: By investing in three different companies within the tech sector, I'm spreading my risk while still focusing on an industry I believe in.
2. Dollar-Cost Averaging: My multiple purchases of GOOG and NVDA over different days demonstrate a dollar-cost averaging approach, which can help mitigate the impact of market volatility.
3. Long-Term Outlook: These investments are made with a long-term perspective. I'm particularly excited about the potential of AI and quantum computing to shape our future.
4. Fractional Shares: This approach has allowed me to invest in high-priced stocks like GOOG and NVDA without needing to commit to full shares.

As always, it's important to remember that investing carries risks, and past performance doesn't guarantee future results.What are your thoughts on these tech stocks? Are you also exploring fractional share investing?

Capturing Premiums with a Rolling Options Strategy: A Deep Dive into October-November 2024 Trades

 In October and November 2024, I implemented a rolling options strategy to maximize my income through premium collection while managing potential risks. Below, I’ll walk through each trade, including the rationale behind rolling, capturing premium, and other key insights from this options strategy.

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Trade Summary

Throughout these two months, I executed a series of call and put options on several stocks, notably SMCI, VZ, T, and HOOD. My approach focused on selling options to collect premiums, rolling contracts to adjust risk and capture additional premium, and letting some contracts expire worthless to secure gains. Here’s a detailed breakdown of each trade.

1. SMCI PUT Options: Active Rolling Strategy

The SMCI options played a significant role in this strategy, with a continuous series of puts rolled to optimize outcomes. Here’s a closer look:

• 10/10/2024: Started by selling an SMCI $40 PUT, expiring on 10/25, for a premium of $81. Rolled to a $40.5 PUT expiring 11/1 for more strategic positioning.
• 10/11/2024: Sold SMCI $40.5 PUT (11/1) for $55, then rolled it to a $44 PUT expiring 11/8 for added premium.
• 10/14/2024 - 10/16/2024: Continued with a series of SMCI PUT rolls, ultimately landing at a $46 PUT with expiration extended to 11/29, capturing additional premiums along the way.

Outcome: This series of SMCI PUTs exemplifies the benefits of rolling—capturing incremental premium, extending time frames, and increasing the strike price to align with my market outlook.

2. T and VZ CALL Options: Capitalizing on Premium from Expiration

• T $23 CALL (10/25, 11/8 Expiries): Both of these options expired worthless, allowing me to keep the entire premium.
• VZ Calls: The $46 CALL (10/25) and $42.5 CALL (11/8) also expired worthless, again yielding full premium capture.

Outcome: The T and VZ calls were well-positioned above current market levels, giving a low probability of assignment and allowing me to retain all premiums without needing to roll or close out early.

3. HOOD PUT Options: Selling for Steady Premiums

• 10/29/2024: Sold a HOOD $25 PUT expiring 11/28 for $65, which eventually expired worthless.
• 11/11/2024: Sold a HOOD $31.5 PUT expiring 11/22 for $63. This position was part of a straightforward premium collection strategy.

Outcome: The HOOD PUT options provided consistent premium income without needing to roll. These contracts were placed with comfortable strike prices, leading to expiration without any additional management required.

4. VZ $41 and T $23 CALLS (Expiring 11/15 and 11/22)

• 11/11/2024: Sold a VZ $41 CALL (11/15) for $15 and a T $23 CALL (11/22) for $8, both designed for potential premium capture with minimal risk of being called away.

Outcome: These were smaller plays in the larger strategy, offering steady premium income with low assignment risk.

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Key Takeaways from My October-November Options Strategy

1. Rolling as a Premium-Enhancement Tool: Rolling allowed me to maximize income from the SMCI PUT options. By adjusting strike prices and expiration dates, I could manage risk while enhancing premium collection.

2. Capitalizing on Expiring Options: A significant portion of these options expired worthless, which is ideal in an options-selling strategy. The T, VZ, and HOOD options were positioned carefully to expire out-of-the-money, enabling me to keep 100% of the premium.

3. Managing Risk with Strategic Strike Adjustments: With some positions, I gradually increased the strike price, especially with SMCI. This maneuver allowed me to remain in the trade for longer, capture more premium, and maintain a favorable risk profile.

4. Consistent Premium Income: This strategy generated consistent cash flow, contributing to the overall growth of my portfolio. The cumulative premiums from these options reinforced the value of a disciplined selling and rolling strategy.

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Final Thoughts

The October-November period demonstrated how a structured options-selling strategy can yield steady returns, even with volatile underlying assets. By strategically rolling SMCI PUTs and allowing other options to expire worthless, I maximized my income and managed downside risks effectively.

If you’re exploring options selling, consider incorporating rolling and expiring strategies like these to capture premiums consistently. Remember, always assess the risk tolerance, monitor market movements, and adjust positions as necessary to optimize your portfolio.