Blockhead Traders Weekly

In this week’s episode, sprocket888 manages his trade on $AMZN by rolling out the option in time one month. $AMZN was in an interesting position where it was still ITM, but volatility had increased. This situation has allowed sprocket to collect a very rich premium on the roll (more than average). Then sprocket uses the…  Read More » Practical application of Price Action

In this week’s episode, sprocket888 and viperxl007 look at shorting stock. sprocket discusses how this year has been challenging as the markets have been on a march seemingly to zero. The trend all year has been bearish, which is quite a change from previous years. There are calls to simply “short” stocks in a down-trend…  Read More » Does shorting scare you?

In this week’s episode, sprocket888 and viperxl007 have a transparent discussion on when to exit a position that only looks to be going higher. Both sprocket and viper have been investing in a crypto ecosystem called chikn.farm. They entered this with little expectations of what would unfold. The ecosystem has been on fire lately, and…  Read More » The Struggle is Real: Exiti...

In this week’s episode, sprocket888 looks at two of his open trades. The first is on $AMZN, and the second is on $CVNA. Both of these trades were premium selling trades. Both plays have been going more and more in the red but have not reached a point to lock in the loss yet. This…  Read More » Checking in on open trades: A look at $AMZN and $CVNA

In this week’s episode, sprocket888 and viperxl007 discuss a new project that they found called ‘Forum.’ This project aims to allow individuals to combine resources while safely preserving governance over the pooled resources. viper and sprocket discuss how this could be very interesting to allow a small group of retail traders the ability to pool…  Read More » Pr...

In this week’s episode, sprocket888 and viperxl007 discuss the September CPI number’s most recent rattling of markets. This CPI number caused one of the most significant single-day declines in recent history, launching volatility up. The rise in volatility created an opportunity for some short premium trades. sprocket888 takes a look at two new ones that…  Read More » A...

In this week’s episode, sprocket888 and viperxl007 take a look at a way to add a little spice into your option selling life. This type of trade is not recommended for beginners. However, once you have the options basics down and you really understand what is going on with all the mechanics, an earnings trade…  Read More » A little option play spice: Selling premium on earning...

In this week’s episode, sprocket888 and viperxl007 talk about a new play that was made this week on $AMZN. While editing last week’s episode, sprocket noticed that the $AMZN trade that was talked about got a bit more tempting. Sprocket entered the trade, so there is a recap of this trade. viper calls out that…  Read More » Back to the basics: Covered Call, an options tr...

In this week’s episode, sprocket888 and viper go back to the basics of option selling of the simple selling of a PUT option. This is one of sprocket’s favorite things to trade. In this episode, we use $AMZN as the example ticket. We examine how selling a PUT can give you a “margin of error”…  Read More » Back to the basics: A breakdown of selling a Put.

In this week’s episode, sprocket888 and viper give their views on the current market news. The viewpoint has led sprocket to make a play on the index of the Russel. In this episode, we look at all angles of this trade. viper walks through how he marks up the Russel for price action levels. He…  Read More » Making a volatility play on the Russel index, a complete thought break...

In this week’s episode, sprocket888 and viper comment on the latest CPI number that has the market in a buying frenzy. This buying is creating a frequently occurring trend. This trend is sometimes called an ascending triangle. What the trend looks like is coming off a local low price tries to overtake a fundamental level…  Read More » From the bottom, ascending triangles are...

In this week’s episode, sprocket888 revisits his AAPL trade for the 3rd time. This time AAPL has encountered some early assignment risk from a dividend distribution. This is not a very common situation, so we dive into the details to learn something. As a mitigation tactic to the assignment risk, sprocket rolls the AAPL short…  Read More » Rotten AAPL Pt3: Navigating early as...

In this week’s episode, sprocket888 and viperxl007 look at a VERY busy news week, packed with earnings, an FOMC meeting, and the first read of Q2 GDP. All this news has filled the market with volatility and is a perfect time to look at how these binary events interact with price action. The theory that…  Read More » Binary events: Simply a price action accelerant

In this week’s episode, sprocket888 and viperxl007 lift crypto and look at the ugly underbelly. There are many episodes about the space’s benefits and high points. This episode takes a look at some of the dangers and ugly underpinnings. The caution can be summed up in the phrase ‘if something seems too good to be…  Read More » Looking under crypto, the dirt under...

In this week’s episode, sprocket888 and viperxl007 hit the history books. New CPI numbers came out in the market, signaling inflationary pressure exceeding expectations. There is a lot of uncertainty in the market about what all this will lead to. So rather than participate in the broad speculation, we look back in history at another…  Read More » CPI and Recession Risk: A lo...

In this week’s episode, sprocket888 shares the detailed thought process that he went through when assigned 400 shares of stock. This includes 100 shares of AAPL and 300 shares of C. Assignment was always possible from the day the trade started. This episode is a continuation of that journey and line of thinking. sprocket walks…  Read More » Rotten AAPL Part 2: A detailed brea...

In this week’s episode, sprocket888 looks at a way to get paid to take a long Call. The trading mechanic that sprocket loves to deploy is selling short premium. This allows for a high probability of success trades for the trade-off of limited gains. In this episode, sprocket looks to combine this short premium trade…  Read More » A free lotto play?: Getting PAID to take a lon...

In this week’s episode, sprocket888 and viperxl007 reflect more on the market’s reaction to the FOMC meeting. They look at the testimony by chairman Jerome Powell to congress and comment on their view. viper keeps his eye on crypto and is very excited about a change in the Avalanche ecosystem. Traders can now deal on…  Read More » Are markets bottoming?: Never can tell,...

In this week’s episode, sprocket888 and viperxl007 look at the recent FOMC meeting and the corresponding 0.75% rate hike. They also dive in and look back at the 20yr and 100yr history of the S&P to see how the current market tracks with some significant historical events. Finally, they glance into the world of crypto…  Read More » FOMC Meeting 0.75% Hike: Pleasure or Pain...

In this week’s episode, sprocket888 has a loser on his hands. In early April, sprocket took on a position to start building up equity in $AAPL. The thinking at the time was the tech blue chips had started to bottom, and it was time to consider adding some of this into the portfolio. To build…  Read More » Managing a rotten $AAPL Pt. 1

In this week’s episode, sprocket888 is looking for some premium selling plays. We look at three options that surfaced after looking at what the screener turns up. The options cover three different views on the market and three different sizes for portfolios. The first option is $CPB, a play for the risk-averse with a bearish…  Read More » Soup, Shop, or Show: A look at three...

In this week’s episode, sprocket888 and viperxl007 offer general comments on the current state of the market. Focusing on the personal impact on their mental state of mind and the things they are doing to stay sane. sprocket888 then offers insight into the worst performing trade to date, $RBLX. The point of looking into this…  Read More » RBLX, worst trade to date, and other...

In this week’s episode, sprocket888 looks at the general market that has been sliding for about 8 solid weeks. The market has recently touched the definition of a bear market reversal of 20% under the previous high. The mainstream media and social media are filled with bearish news about doom and gloom to come. It…  Read More » Just DON’T panic

In this week’s episode, sprocket888 and viperxl007 take a look at a crypto strategy that viper stumbled on. In this strategy, you simultaneously take both and Long AND a Short position in a crypto asset. This is done in a leveraged capacity. This will allow the ability to profit in EITHER direction, given enough movement.…  Read More » Unique strategy to crypto, The Synthetic...

In this week’s episode, sprocket888 and viperxl007 start a new series about retirement. Sure, this is a long way off for both of these Blockheads, but is it ever too soon to start saving? This episode examines the primary vehicles used to hold and grow wealth for retirement. We will take a look at some…  Read More » Preparing for retirement Part 1: Retirement Vehicles