I Got Paid US$370 While Waiting to Buy NVIDIA
A few people asked how I sold a Cash Secured Put on NVDA, so I thought I’d share a real example.
I wanted to own NVIDIA.
Just not at the current price.
Instead of placing a limit order and hoping the price would fall, I sold a Cash Secured Put.
In return, I collected about US$370 in premium.
In the video, I walk through exactly how I placed the trade step by step on my brokerage account.
But here’s something I’ve learnt after more than five years of options selling.
Getting paid while waiting is actually the easy part.
The difficult part is staying patient.
Not chasing stocks when they keep going higher.
Not changing your plan because of FOMO.
Not getting tempted by higher premiums on stocks you don’t really want to own.
Over time, I’ve realised that successful options selling is less about finding the perfect trade and more about managing your emotions.
That’s also why I only sell Cash Secured Puts on stocks I’d genuinely be happy owning if I get assigned.
For me, stock selection comes before premium collection.
As a full-time working dad, I also appreciate that this strategy doesn’t require me to watch the market all day.
The trade took a few minutes.
Then I got on with the rest of my day.
Options create options.
Not financial advice. Just sharing how I’m using options selling to build financial flexibility and buy back more choices for my family.
Follow if you’d like to learn options selling, Cash Secured Puts, Covered Calls, and the Wheel Strategy explained simply by a dad who’s learnt most of his lessons the hard way.
#optionstrading #optionstradingtips #Lemon8SG #sgfinance #cashsecuredput
Selling Cash Secured Puts on stocks like NVIDIA can be a fantastic strategy not just to generate income, but to potentially acquire shares at a discount that fits your investment goals. From my experience, one of the key lessons is that while collecting premiums can feel rewarding, the greater challenge—and skill—lies in exercising patience and sticking to your plan. When you open a Cash Secured Put position, you're essentially agreeing to buy the underlying stock at the strike price, should the option be assigned. This means picking stocks you feel comfortable owning is crucial. For high-growth companies like NVIDIA, I specifically focus on shares I want in my portfolio long-term, so getting assigned doesn’t disrupt my strategy but rather complements it. It’s also important to resist emotional triggers like FOMO (Fear of Missing Out) or chasing higher premiums on less desirable stocks. Often, especially in volatile markets, the premium might look attractive, but acquiring stocks you don’t believe in can add risk and reduce your conviction. Another benefit I’ve appreciated, especially as a full-time working parent, is that this method doesn’t demand constant market watching. Once the trade is placed—typically in a few minutes—I can focus on my day without stressing over intraday price moves. This efficiency is invaluable for balancing investing with life. Additionally, understanding the option chain details like strike selection, expiration dates, and implied volatility helps optimize premium income while managing risk. For instance, selling puts with about 30 to 45 days until expiration often balances time decay and premium capture effectively. One practical tip is to monitor broader market indicators and NVIDIA’s technical signals; factors such as support levels, RSI, and recent buyback announcements can influence stock price movement and assignment risk. Ultimately, successful Cash Secured Put selling is less about timing the perfect entry and more about discipline and emotional control. By sticking to this approach, I’ve steadily built financial flexibility and grown my portfolio methodically—an approach I’d recommend to anyone wanting to learn options selling pragmatically.
