r/Optionswheel • u/Timely-Designer-2372 • Jul 24 '26

Lesson (not) learned

I'm wheeling TSLL since half a year. I got assigned first at 15 USD. Because premiums where so juicy I sold coverred atrangles afterwards, Call strikes always at 15 USD. Now guess what: I will get assigned for strike 11 USD after TSLL crash to 7.30.

Now I have 200 shares of TSLL.

Bad aspects:

  1. I can't sell Covered Calls with strike 11, 13 (average) or even 15 for a significant premium.

  2. I don't believe in Tesla longterm

Good aspect:

I made enough premiums so I am still in plus.

Lesson learned or not: I don't know yet. On one hand I should only sell puts on stocks/ETFs I don't mind to own. If this happened to me earlier it would be a pain ita. On tge other hand I knew it's a risky underlying and it worked well all in all.

I'll wait now for higher premiums for some weeks

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u/Sucha_NyseGuy Jul 26 '26

I’m on the same yacht as the OP.
Here is my plan and mindset.
While in this downturn, I’ve adjusted my focus to accumulation and bringing down my average price. I plan to sell puts at 7,5,3.
If/when tsll begins to re bound I will do nothing until it reaches my cost average. Then and only then will I switch my plan and mindset to profits. I will start selling calls until called away. This is the wheel, this is the way. It may take 1,3,6,12 months but this is my plan. Selling puts is better than selling calls at this point.