Update (12/31/2022):
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Opening a new topic for Q3.
The Friday 7/8/2022 expiation has some pretty juicy yields. I've been selling 160 points OTM this morning for a 1-day premium of 0.50-0.60. Stepping a little bit cautiously because the market seems a little too hot and there is some uncertainty about the employment release tomorrow.
I'm right there with you. Sold the 3715p for tomorrow @0.5.
Can't get too greedy in this market.
Sold some OTM covered calls since I ain't buying this squeeze.
@ohadost Nice! That will likely be super-safe.
I eventually walked up my strikes to 3745. Crossing my fingers!
You might have noticed the really juicy premiums for Wednesday, July 13. Caution: it's the CPI inflation release date. We might see a repeat of the June 10 volatility. A slight rise in the YoY CPI number is already in the forecasts. I hope people will not lose their marbles again when the number comes in at 8.8% or higher.
I would tread lightly this week. My personal strategy: sell a few OTM intra-day puts. With the extra income, I lower my premium target from $0.70 to maybe only $0.50 for a 1DTE option. And then sell those 1DTE puts right before the close, once the intra-day puts expire safely OTM.
@earlyretirementnowcom, whats your delta/premium target for intraday options?
I am selling 2 cts 1DTE, at open and close. Next day if y-day both options are safe, I also sell one intraday@open.
Funny story (not really) last time a day before CPI missed open and sold 1DTE just before intraday reversal. Got burned quite bad on CPI announcement next day.
@john If my usual premium is $0.70 for the 1DTE trade, I target anything between 0.30 to 0.40 for an intra-day short put. I would put the trade on about 30-90 minutes after the open.
I think I sold at the worst possible time today. Exactly 30 minutes before AAPL decided to tank the market.
Got the 3775p for tomorrow's expiration. I don't have a good feeling about it.
@ohadost I had a similar close call. Sold the next-day contracts too early. But everything worked out well...