LD Lossdog Research
strategy

selling upside calls

2 matching records.

Trade idea

Trade idea selling upside calls

Selling upside calls on AI-related assets can be a way to profit from a potential market downturn without directly buying puts. This strategy is preferred due to the limited risk and the ability to generate income from the premium, even if the market does not crash as expected.

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Strategyselling upside calls
Time horizonshort-term to medium-term
Entry / triggeranticipation of a market downturn, particularly in AI-related assets
Target / exitprofit from the premium received from selling calls
Invalidation / stopif the market moves against the position, the risk is limited to the premium paid
Speakerunknown
Risks
  • limited upside potential
  • risk of market movement against the position
selling upside calls
medium confidenceVerify in video at 17:58 ↗
Trade idea

Nvidia selling upside calls

The speaker suggests selling upside calls on Nvidia as a strategy to profit from potential price declines while limiting downside risk. However, the speaker acknowledges that this is not an easy trade and requires precise timing. The speaker also notes that shorting Nvidia has been a poor strategy in the past, indicating the need for careful execution and market analysis.

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Strategyselling upside calls
Assetstock
Time horizonshort-term
Entry / triggerwhen the stock is overvalued and the market is expected to decline
Target / exitprofit from the premium collected if the stock price remains below the strike price
Invalidation / stopif the stock price rises significantly above the strike price, the trade could result in substantial losses
Speakerunknown
Structure / legs
  • upside calls
Risks
  • significant losses if the stock price rises
  • difficulty in timing the market
  • potential for large losses if the stock price moves against the position
shortEquityshortselling upside callsNVDAshort-term
medium confidenceVerify in video at 21:43 ↗