AMD

My goal in with trading is to execute flawless trades. Seek the best entry, manage my risk, and exit with profit. Some of my trades are better than others but this week I bought 5 AMD calls and 5 COST calls. I’m still watching my MSFT diagonal put spread, with my first short put option expiring at the end of the week. Granted, if I get assigned (which is a low probability) I’ll just sell covered calls on those 100 shares. I do have a protective long put in MSFT to act as a back stop to selling “premium.” I don’t know I’ll end up doing this for the long term but I’ll keep this position open till end of May and sell weekly puts against it. ...

Markets had an interesting week, especially if you were trading the #AI stocks like NVDA and AMD. Both of those darlings sold off. NVDA looks to be firming up but it’s too early to tell. AMD is heading lower and I expect it to test the $180 level. I’d become a buyer around there. After transferring my brokerage account over to Interactive Brokers (referral link), I put on a single #options trade. I sold my first put to collect premium and bought a long dated put for insurance on MSFT. This is called a diagonal spread trade and I’m banking that MSFT will climb higher here. ...

My plan is to stay out of the market today. There was some violent sell off on Friday in the semiconductors. All the stocks and ETFs I follow sold off and there were a lot of shooting starts or bearish engulfing candles. Several of the indices are looking tired too, the S&P500 has a bearish engulfing candle as well. But MSFT is hanging in there, that’s one that I want to bet on for the long term and I might be increasing my long term holdings of it. ...

This is a trade review of my Advanced Micro Devices AMD call option trade. Why was I interested in AMD? Because it’s getting action for momentum traders interested in the AI market. Which way was AMD trading? It was in a long upward trend. Was AMD making an all-time high? Yes. When did you enter the trade and at what cost? I entered the trade on 3/1/2024. I bought 5 May 17, 2024 AMD Calls for $8.95. Total cost was $4,478. What was AMD trading at the time of entry? It was trading around $200. That was my entry. Now what about the exit? Why did I exit? ...

This is the start of my weekly market reviews for my trading journal. This is my digital watering hole, where I can celebrate wins and commiserate losses. It’s where I’ll work hard to figure out my new trading strategy and find opportunities in the market. I’m an old trader, definitely not a bold trader. What a week! I sold my stock holding in NVDA for a 20% profit and closed out all my AMD and COST calls. I made 68% profit each for those option trades. Options trading is insane and you can make sick money with it. Of course, you can lose sick money with it too. ...

I bought a call for COST, strike price 900 for June 21st expiration. The strategy behind buying these calls is this: earnings are due for Costco on Thursday and I expect good results. On top of that, COST has been one of my best long-term performers and I wanted to make some extra income from its strong trend. AMD closed down yesterday and NVDA managed to close up. Yesterday was a down day for the market but these two hanging tough in the face of the sell-off means the momentum is strong. ...

Now that I’m an active trader again I’m going to restart my semi-daily trading journal. I do this to keep myself sane spot where I make mistakes and learn to correct them. I’m long NVDA and it’s been a rocket to the moon. I got in around $750 and I expect it to hit $900 first before peaking out around $1,000. Traders love round numbers and I’m very wary of them because price action could fail around there. ...

Trade log star date March 1, 2024. Today I opened my first option trade in a long time. Yes, I own the covered call writing ETF’s QYLD and RYLD, but this was my first call option in two decades. Why did I do this? Simple, because “stonks” go up, at least in a strong bull market. There’s such a market euphoria right now that people are blindly throwing money at AMD, NVDA, and host of other shit related AI stocks that there are new all-time highs being made daily. ...

I was reading the news this morning about how AMD is getting more investor’s interest as a competitor to NVDA’s GPU chips. This always happens when a momentum/trend darling gets too expensive or too crazy for the smaller boys to handle. NVDA is in squarely in the hands of the big boy gamblers and if you can’t run with them dawgs, you better go find something else to trade. Hello AMD! ...