Anyone selling 10 delta CC? Here’s a strategy from Hermes Lux
Owning $mstr is the equivalent of having a job and selling covered calls is your paycheck. You don't need to worry about the price of the stock because as long as you own the shares you have your job and as long as you keep selling covered calls you will keep receiving a paycheck.
If you ever want a pay raise then just buy another 100 shares, or a multiple of 100 shares, to sell more covered calls.
Sell the 10-15 Delta 30 days out to keep your job.
Selling 10 delta covered calls (30-40DTE) only takes about 10 minutes per week.
Example: Week 1: Sell 1x 10 delta covered call on 100 shares you already own (ref. image). Week 2: Roll the short call you sold in week 1 out 1 more week. Week 3: Roll the short call from week 2 out 1 week. Week 4: Follow the pattern above.
Each week, roll out for a credit; if you can roll up and out to a new 10 delta for a credit, do that. This will ensure you achieve better performance than MSTR ~95% of the time. The ~5% time you don't your portfolio will be up massively.
The MSTR 10-Delta Covered Call Strategy
Below are the core tenants of this strategy to get you started. There are some variations that can be done to fit any customization you would like. Think of this as your main dish of steak and potatoes. Some people like more salt and pepper or other seasoning; some people maybe less. Some people might like their steak medium rare; some might like theirs well done. Some people may like barbecue sauce or ketchup or even mayonnaise on their fries. Some people might like them plain or just salt and pepper. In any case, you are eating steak and potatoes and below is that strategy.
➡️ Buy 100 MSTR shares, or a multiple of 100 shares.
➡️ Sell 1 call option for every 100 shares with a Delta of ~10; set expiration 30-40 DTE.
➡️ If stock price drops or stays below short strike by expiration, hold shares and option; let the option expire worthless to keep the premium, then sell another 10-Delta call after expiration. Alternatively, you may choose to roll the call In the week of expiration to a new 10 Delta call, 30-40 DTE.
➡️ If stock price exceeds short strike and you want to keep shares, roll the call up and out. This means you buy back the current call and sell a new 10-Delta call with a higher strike and later expiration. If there is not a 10 Delta that is at or above your break-even price for your shares then sell the first strike available above your break even cost, 30-40 DTE.
In the unlikely event* (<5% of the time) where your shares get called away, you could easily, in a single "Buy-Write" transaction, buy back the shares ATM whilst selling a higher delta covered call to account for your "lost" appreciation. If your concern is taxes, the solution is to pay taxes with covered calls.
Parabolic moves won't last, and when you renter the position selling a higher delta (20-40 delta), 30-40 more days out, the stock will correct and your large negative short position from the new covered call will expire worthless.
*unlikely events can be further reduced in frequency by rolling ATM/ITM.
And from Adam Livingston
🚨How to Print Your Own Stimulus Check with MSTR Covered Calls (30-Day Theta Wizard Edition)🚨
Let me explain how you can legally commit economic terrorism against fiat holders and mint income like you’re running a private hedge fund in your mom’s basement.
All you need is:
A stack of MSTR
A brokerage account
The ability to click buttons without having a stroke
And a deep-rooted hatred for the dollar
Here’s the play:
You own MSTR? Congrats. You’re now a Time Monetization Field Agent.
You’re holding equity in the only publicly traded Bitcoin monastery that issues no dividend but is somehow the most powerful yield engine Wall Street has ever accidentally created.
And the secret sauce?
Covered calls.
Specifically, selling calls at the .10–.15 delta range - aka the “let the degenerates overpay for hopium” range.
Step-by-Step Breakdown:
- You Own the Shares. You Are the House Now.
You have 100 shares of MSTR? Great. You’re not “investing.”
You’re underwriting financial delusions.
Every week, people buy options hoping MSTR goes vertical. You?
You sell that hope. You sell it like it’s powdered sugar to a bakery in Argentina. Premium. Up front. No refunds.
- You Sell Calls 1–2 Weeks Out at .10–.15 Delta
That means these suckers are unlikely to hit. The math says it. The options chain screams it.
But the market is full of Reddit traders, dopamine addicts, and Larry Fink interns who just discovered Bitcoin last Tuesday. Let them gamble. You harvest.
- You Collect Premium Like a God-Tier Rentier Aristocrat
These options might bring in ~$340 per contract, depending on IV. You’re literally selling paper promises backed by your hard asset position.
You’ve become a fiat landlord - but for volatility.
- You Repeat. Every. Week.
You are now the casino.
You are the fiat-churning middleman of dreams. And the best part? If you get assigned?
You sell covered puts on the cash and get paid to buy your shares back at a discount.
Then you run it back.
You are the income loop. You are the game.
Have 500 shares? 5 contracts ~ $1700.
Wait for the contracts to decay in value by 80%, buy them back, then re-roll for more premium.
Volatility is the product @Saylor is selling.
Better take advantage!
