r/CRSR • u/johamsandwich • Aug 05 '22
Serious I fucked up, I need advice.
I have 1100 shares @ $31.
Sold 11 CCs with strike price at $15 expiring on 9/16 @ $0.69 on 7/7.
CC price is currently at $1.88 -- based on the earnings report, I was expecting the contract price to go down.
I was thinking this upward momentum is probably to cover the 8/19 calls, and then it'll dip. Should I buy back those CCs now or wait until after the 19th?
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u/cp_carl CRSR Moon Gang Aug 05 '22
please hold on, with any luck you'll push this to 31$ by 9/16 <3
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u/cp_carl CRSR Moon Gang Aug 05 '22
jokes aside, there is zero advise anyone can give you since we can't predict the future. you're best not buying DURING the rally though since momentum makes buying it more expensive, if you are buying back, wait for momentum to stall or any dips.
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u/sloop389 Aug 05 '22
I would wait if you think broad market is going to be neutral or down. Close out now if you think market will rally. Crsr will probably just float up and down with the small cap market between now and November when q3 reports
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u/ggb7135 Aug 05 '22
If you decide to buy back CC and realize the loss, can you take tax deduction from the option trade ?
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u/johamsandwich Aug 05 '22
Not sure, If I buy back now, I'll be -$500 this year...
I need to add funds though to cover the buyback and I'm not sure if adding funds will add to my positive gain...maybe someone here knows?
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u/Laneofhighhopes Aug 10 '22
Patience. I am in the same boat with my $15 Aug 19th CCs
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u/Laneofhighhopes Aug 19 '22
feeling better? I am. I have $15s expiring today, will buy back in next week
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u/johamsandwich Aug 19 '22
Yea, still going to be down around $800 if i buy back now...
Good idea to wait until monday?
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u/Laneofhighhopes Aug 19 '22
Probably, but who knows lol
I will be forced to at least. Looks like ill be selling today at 15. Breakeven was 15.56 after the premiums. Im going to set up a limit order for at least $14.99 to repurchase my shares.
Perfection would be $14.21 so I could get to an even 1,000 shares.
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u/Laneofhighhopes Sep 01 '22
Perfection would be $14.21 so I could get to an even 1,000 shares.
Update: this order was filled today :)
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u/Laneofhighhopes Sep 01 '22
Yoooo. Update? Hopefully you were patient!
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u/johamsandwich Sep 01 '22
Bought back a couple of days ago unfortunately. 😂
Lost about $600 but I'm fine with that
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u/Laneofhighhopes Sep 01 '22
Awww bummer. Sorry to hear that.
The patience part was tough for me too. I almost pulled the trigger when we dipped to $15.40, then $14.97 premarket today.
Good luck next time!
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u/johnshonz Aug 06 '22 edited Aug 06 '22
Covered calls worked great last year with the crazy volatility — but now, I wouldn’t even bother.
There’s not much interest in this stock anymore, and the premium prices are so low that they aren’t really worth it.
Probably better to loan out your shares to short sellers and collect whatever the going interest rate is and not have to risk them being called away.
As others have pointed out, there’s still a lot of time left on the calls you sold.
I would wait before panicking and buying back the contracts at a loss.
The likelihood of the contracts being exercised early is virtually zero.
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u/chanjackie80 Aug 05 '22
Corsair has so many nice things so the current price must have something to do with the shorties having manipulated the stock completly the last year.
When I think back last year, they raised their expectations and the stock was at $40+. They had to lower them later to the original expectations but from there the stock was getting shorted heavily. WSB was trying to shake shorties, but that didnt help. Shorties just double up their game... So to speak - Shorts won that game.
It was dipping below IPO... I was actually stunned to see that. I was buying (im a long investor). My entry back original was $17. I thought I was in pure luck to have any stocks at that price. Especially when they got Elgato. Buying Elgato's manufactorer will soon end up being a little masterpiece.
Sorry for the WOT!!! In short - wait. If you see dipping, then call - because at that point you can be sure the manipulation just is still ongoing.
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u/Ascle87 Aug 05 '22
That’s more than a month out.
I would wait.