I had been thinking about adding the wheel option strategy into my long term investment, but the option size of minimum 100 shares has always been too big.

Anyway, I found out about the MAGS etf and that size is quite manageable, so I started dipping my toes into it.

Then I found that maybe doing bigger sized like NVDA or TSLA might be okay too, so I gave it a try.

Problem with MAGS options

The MAGS option fits what I need exactly – selling puts for lower price that I don’t mind getting in.

Also I might consider selling calls for higher price that I don’t mind getting out as well.

But the liquidity with that option market isn’t that high, and the spread is quite large.

I am afraid I might get a bad deal there, so I started seeing about the big tech stock options as well.

Buying my first call option

I bought NVDA option because I wanted the stock but didn’t want to get in so much for the downside.

So bought some call options far away for decently cheap, and see if it might recover big-time after the deepseek scare.

Unfortunately it did not and I was out ~USD26 for the option. No big deal.

Selling TSLA put option

I want to buy TSLA but I don’t want to get in at such a high price, so I figured I can sell a put, so if the price goes up at least I made money with the PUT. If it goes down I lose on the PUT but I can buy the stock for cheaper.

One option went well and I got paid USD300 and the option expired.

So I did another one for the next week, but now it’s over the weekend and I am regretting it.

The position size is too big and if the stock tanks for some reason, sure I can buy it cheap but I can’t really take 100 shares.

So I’d have to sell shares then and potentially take a big loss.

Conclusion – don’t trade the oversize option anymore

One downside with me using options is, the market is pretty much always closed except right before I go to bed.

Once I make any move, I have to sit at least overnight or even over the weekend and that can expose me to additional unwanted risks.

Also it’s just not that much money for the effort and energy it takes to put into it – which is the most important point.

I might as well either spend that time to research and learn more, or just put it into business so I can generate more business profit to put into investing.

In any case, it was a good learning process and I now understand how options work much better, especially the time-value component.

In the future if my portfolio size grow to a certain point and 100 shares is not a lot, I might revisit using options to increase my returns … but until then, I will just stick with the basic investing for now.