It was a week of price turbulence for $NVIDIA(NVDA). Based on the earnings and forecast, I remain cautiously bullish for the long term. I have confidence over its management to do a good job and adjust the business plan from time to time accordingly.
I am not overly worried. However, it is good to have a strategy and risk mitigation as an investor.
Before the earnings announcement, I guessed the price to be in the range of $180-185. So I bought 2 Aug 29 $165/$175 bull spread pair for $5.30, hoping to make a gain of >40%. On Aug 29, it went thru price correction and closed at $8. I am good with that, no-issue. My other short puts and covered call as indicated in the attached expired worthless. In other words, I captured the full values. While the share price went thru correction, I accumulated additional shares.
I am now ready for the next market move. Likely to start another round of covered calls.
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