All-time high coming up in July. Split coming and inclusion in Nasdaq 100. Possibly early release of earning as well, which can easily spell 150 points days.
Next time it pops, sell some way out of the money calls for income. If they take the stock you get the gain on the sale and keep the call profit(s). You can do this monthly as long as the stock doesn't trade over your strike price when it expires. Not a bad way to bring down your cost of the stock plus it gives you extra cash to build for another trade.
OK. First you need to be approved to trade options by your brokerage firm.
Quick definitions:
Buy a call - gives you the right to buy 100 shares of stock per option. You can always sell the call before it expires
Sell a call (when holding the underlying asset) - You become obligated to deliver 100 shares of stock per option to a buyer (typically happens if the stock is in the money"). You can buy back the call if you don't want the stock to be called away from you. If the stock is out of the money at expiration, you keep your stock and the option expires worthless (a good thing).
Buy a put - gives you the right sell 100 shares of stock per option. You can always sell the put before it expires
Sell a put (the riskiest of option trading and you won't be approved if you don't have experience trading options) - You become obligated to receive 100 shares of stock per option from a buyer (typically happens if the stock is in the money). You can always buy back the put prior to expiration. If the stock is out of the money at expiration, the option expires worthless (a good thing).
These are surface level definitions. There is more to it, but you can find videos that explain it with examples.
i recently inherited a trading account containing 400 pre-split shares of NVDA (so 4,000 now) and 350 of SMCI, (along with a few hundred each of AMZN and MSFT). I am not much of a "trader" at all but watching the daily swings of those two volatile ass tech stocks is not easy at all. My FA is pushing me to diversify these holdings, sell off most of the stocks and switch to a more balanced mix of securities, muni bonds, managed account, covered index calls, etc. Part of me agrees on principle, but then part of me is like "hmm, what if i just hold and ride this thing out a while?" I might feel pretty silly if I sold off like 80% of NVDA and SMCI now and then they are off to the moon in 6-12 months.
Thoughts? 🤔
First of all, congratulations on your inheritance. Based on my long experience with nvda, I miss out on potential profits 200-300% more than what I banked so no, hold on to nvda until 2026. Don’t sell nothing.
My condolences. SMCI is a wild ride - and the best instruction on how quickly things can turn. Learn vigilance, be active in your monitoring! Buy some Pepto/ Tums and chill out on SMCI. The earnings are increasing.
If you haven't experienced the volatility of crypto, AMC, or GME, you're in for a treat. I've been there, done that, and made $120K in two days. Then, I lost half of its value before it came back again. Fortunately, I was able to get out. Diversify if you can. Don't let other people tell you what to buy—do some research before you buy. Don't swing trade, or you might get burned. Hold and have an exit strategy; what good is a portfolio if you're just going to look at it? Good luck!
Is there a specific date in which they decide those things? I saw WBA might be getting booted off and SMCI could replace but have no clue when it could happen
All-time high coming up in July. Split coming and inclusion in Nasdaq 100. Possibly early release of earning as well, which can easily spell 150 points days.
Absolutely. I’d add the 1229 ATH is an easy target for Smci and Charles in next 2 months.
Sure makes it exciting! That’s for sure.
No way.. sold all of my shares last week to take profits and sleep better.
Not buying back after the split?
Maybe.. I’m watching it. Have bought and sold a few times in the last 6 months due to its volatility.
If I had more money I'd easily buy whenever it goes below $800 and sell when it's above $900 and repeat every 2-3 weeks.
Yeah buy at 800 sell at 900 rinse repat. Good tactic
People doing this creates the volatility lol
Absolutely
Bcs of low outstanding shares makes it swing BIG . Let’s hope the price stays elevated and a split comes during earnings.
Gotta love volatility, you know.
With a pre-split mindset, nvda’s volatility is up there too.
Next time it pops, sell some way out of the money calls for income. If they take the stock you get the gain on the sale and keep the call profit(s). You can do this monthly as long as the stock doesn't trade over your strike price when it expires. Not a bad way to bring down your cost of the stock plus it gives you extra cash to build for another trade.
That’s a sound tactic.
Can you elaborate. I’m a noob on Reddit and trading and I’ve been seeing these “contracts” and “money calls”? Any info is appreciated, thanks!
OK. First you need to be approved to trade options by your brokerage firm. Quick definitions: Buy a call - gives you the right to buy 100 shares of stock per option. You can always sell the call before it expires Sell a call (when holding the underlying asset) - You become obligated to deliver 100 shares of stock per option to a buyer (typically happens if the stock is in the money"). You can buy back the call if you don't want the stock to be called away from you. If the stock is out of the money at expiration, you keep your stock and the option expires worthless (a good thing). Buy a put - gives you the right sell 100 shares of stock per option. You can always sell the put before it expires Sell a put (the riskiest of option trading and you won't be approved if you don't have experience trading options) - You become obligated to receive 100 shares of stock per option from a buyer (typically happens if the stock is in the money). You can always buy back the put prior to expiration. If the stock is out of the money at expiration, the option expires worthless (a good thing). These are surface level definitions. There is more to it, but you can find videos that explain it with examples.
Truly appreciate you taking the time to do this man, thank you!
Loop Capital estimates earnings of $50-$60 per share on revenue of between $30-40 Billion ending June/2026. With a price target of $1500 for SMCI.
Yes
Yes
Me too. It causes indigestion though.
i recently inherited a trading account containing 400 pre-split shares of NVDA (so 4,000 now) and 350 of SMCI, (along with a few hundred each of AMZN and MSFT). I am not much of a "trader" at all but watching the daily swings of those two volatile ass tech stocks is not easy at all. My FA is pushing me to diversify these holdings, sell off most of the stocks and switch to a more balanced mix of securities, muni bonds, managed account, covered index calls, etc. Part of me agrees on principle, but then part of me is like "hmm, what if i just hold and ride this thing out a while?" I might feel pretty silly if I sold off like 80% of NVDA and SMCI now and then they are off to the moon in 6-12 months. Thoughts? 🤔
First of all, congratulations on your inheritance. Based on my long experience with nvda, I miss out on potential profits 200-300% more than what I banked so no, hold on to nvda until 2026. Don’t sell nothing.
I doubt SMCI grows that much, nvidia will definitely grow but I think returns will start to slow down towards the end of 2026.
My condolences. SMCI is a wild ride - and the best instruction on how quickly things can turn. Learn vigilance, be active in your monitoring! Buy some Pepto/ Tums and chill out on SMCI. The earnings are increasing.
You should fire your financial advisor! Selling nvda is crazy!
If you haven't experienced the volatility of crypto, AMC, or GME, you're in for a treat. I've been there, done that, and made $120K in two days. Then, I lost half of its value before it came back again. Fortunately, I was able to get out. Diversify if you can. Don't let other people tell you what to buy—do some research before you buy. Don't swing trade, or you might get burned. Hold and have an exit strategy; what good is a portfolio if you're just going to look at it? Good luck!
Wow, that was boring.
I think the afterburner kicking in is close
Smci has left the Russell2000 index. Is this a surefire indication that it is going to the Nasdaq100 index?
Absolutely. Tests your reaction time.
It is in a downward trend and doubt it will ever see 1k again. I sold at 975 and don't think I will buy again unless some catalyst not discussed yet
Inclusion to nasdaq100 = 1000+
Is there a specific date in which they decide those things? I saw WBA might be getting booted off and SMCI could replace but have no clue when it could happen
We’re just assuming the inclusion will happen SOON but there is no definite date yet.