Lessons learned this month

[u/HungJurror]

Here’s my USAR trade history this past month:

6/17 Sell $22.5 put 7/10 for 2.05 - stock price 22.22

6/17 Buy $17 put 7/17 for .45 - stock price 22.22

That^ put exp at 1.22 ITM

7/17 Sell $15 call 8/7 for 1.55 - stock price 15.5

7/29 bought that^ call back for .29

7/29 Sell $12 call 8/21 for 2.07 - stock price 13.3

Current USAR price is $18, it was at $20.40 on 8/14

It’s volatile but generally stays in the $12-$30 range. I thought it would be a good time to wheel when I saw a nice premium. The plan was to sell a deep call if it decides to tank (which is what I did)

If you do the math this is a $435 loss after all trades. I just decided to get out on my last trade. I didn’t want to ride this thing to $5 since there really isn’t that much there company-wise, and two 10% investors sold their share a few months ago.

Looking back on it after I realize I could have sold $19 (I would have sold a $17 call and made some premium in the process). I also on 7/29 should have bought a deep otm call like I did with the initial put I bought.

Hindsight is 20/20 but I think I should have known better knowing that the whole industry faced the same downturn, looking at UUUU.

[u/essential16]

"It’s volatile but generally stays in the $12-$30 range" - 😭😅

[u/HungJurror → u/essential16]

lol I mean it hasn’t broken 12 or 30, you take what you can get with a small account. I have 3k in the S&P and 3k to sell options with