Spent $48 on some lotto ticket calls. When NFLX gapped up after the close I put on a roughly 50% delta hedge against my unrealized gains. I was fine with the stock dropping back to $90 or less or continuing to rise, with profits locked in. In the morning with price approaching my strike, I covered the short and set up three additional limits to rehedge again should it rise. On the open, I was focused on the short position and covered it again with a market order as I thought it was coming into support, locking in more profit. I was lucky it bounced again and I was able to scale out of my calls. I made one additional bet on a $100 call for next week but decided I wanted 100% win rate for the day and closed it out early. The one thing I learned from today was to roll some of the calls higher, and to scale out big to small instead of small to big. Overall very stressful trade with incredible luck. I do not expect to ever repeat this performance again.
I delta hedged NFLX calls and went 130x
byu/demi9od inwallstreetbets
Posted by demi9od
5 Comments
You seem to have a strong grasp on all the meaning of all these words you use.
I’m just sitting here wondering why the end result of all that knowledge and strategic insight netted you a $6k gain.
You’re either a 12 year old wunderkind (in which case, can I pay you), or a spineless jellyfish (in which case, I’d like to eat you).
Where do we go from here?
On which app do you trade?
Spent $27 at Wendy’s on some late-cycle Baconator calls. When the combo gapped up after tray delivery I initiated a 60% ketchup hedge against unrealized sodium exposure. I was comfortable with the burger retracing to room temperature support or continuing its upward grease momentum, as long as mouthfeel profits were secured.
Mid-bite I dynamically rebalanced fry allocation and layered three conditional Frosty offsets in case of unexpected dryness volatility. On wrapper open I executed a full napkin market order as I identified structural support near the bottom bun. Scaled consumption from large bites to small to optimize liquidity flow.
*just eat the fries in the bag bro and stop yapping* 😪
“Delta hedging” a 0DTE option is maybe the dumbest thing I’ve read on here all year.
There’s no strategy to be found here. You just made 12 intraday trades, 8 of which timed the volatility well and the other 4 you doubled down on wrong bets like a Martingale better at the blackjack table.
No shit it was stressful. You were staring at a bar chart for almost 24 hours straight letting your little monkey brain say “line go up or down now? monkey want see green!!! delta hedge smart!!!”
I wouldn’t say you 130x it. If I shorted nflx at $93.59 (aka no cash outflow or cost) and then covered at $90.53 would you say I had an infinite return because I paid nothing upfront on the short and made $3.06?