Thursday, March 05, 2020 11:57:18 AM
Some traders,
or shall I say many traders ...
Hell, I don't know.
Anyway, revolutionaries know what they are doing -- don't shoot till you see the whites of their eyes.
It's best to trade stocks that can and do make money now and are continuing to run forward at a good clip than it is to invest in an infantile company like NIO which is just beginning to learn how to walk.
I like NIO but it trades at too low of a price to invest in. I like to be able to manage risk, and thereby lower risk, while trading stocks. I do that in large part by including the sale of Call options sometime rather soon (in terms of minutes to a day or more) after purchasing the stock. That sale creates income while holding the stock. That IS risk reduction at its best, as you get paid a sort of commission to buy the stock; and you can repeat that selling of Calls every week as long as you continue holding that stock.
With that method and an average market, 100%+ gains each year is not difficult to achieve. But it's difficult to do that when the stock trades at only a few dollars while the best options price spacing is a half-dollar. Finer granularity is required to make that trading method work well, and that isn't going to be the case till NIO can reliably trade at prices nearer to $10, in which case their options are spaced at 5% intervals. Using that method while NIO trades at $8 instead of $10 and higher is equivalent to accepting a little more risk but I would be tempted to do that because the better price of $10 isn't that far out of reach.
or shall I say many traders ...
Hell, I don't know.
Anyway, revolutionaries know what they are doing -- don't shoot till you see the whites of their eyes.
It's best to trade stocks that can and do make money now and are continuing to run forward at a good clip than it is to invest in an infantile company like NIO which is just beginning to learn how to walk.
I like NIO but it trades at too low of a price to invest in. I like to be able to manage risk, and thereby lower risk, while trading stocks. I do that in large part by including the sale of Call options sometime rather soon (in terms of minutes to a day or more) after purchasing the stock. That sale creates income while holding the stock. That IS risk reduction at its best, as you get paid a sort of commission to buy the stock; and you can repeat that selling of Calls every week as long as you continue holding that stock.
With that method and an average market, 100%+ gains each year is not difficult to achieve. But it's difficult to do that when the stock trades at only a few dollars while the best options price spacing is a half-dollar. Finer granularity is required to make that trading method work well, and that isn't going to be the case till NIO can reliably trade at prices nearer to $10, in which case their options are spaced at 5% intervals. Using that method while NIO trades at $8 instead of $10 and higher is equivalent to accepting a little more risk but I would be tempted to do that because the better price of $10 isn't that far out of reach.
Recent NIO News
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 05/22/2026 10:01:57 AM
- NIO to Hold Annual General Meeting on June 24, 2026 • GlobeNewswire Inc. • 05/22/2026 09:30:00 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 05/21/2026 10:59:59 AM
- NIO shares rally after first-quarter earnings beat and stronger revenue outlook (NIO) • IH Market News • 05/21/2026 10:42:58 AM
- NIO Inc. Reports Unaudited First Quarter 2026 Financial Results • GlobeNewswire Inc. • 05/21/2026 10:00:00 AM
- NIO Inc. to Report Unaudited First Quarter 2026 Financial Results on Thursday, May 21, 2026 • GlobeNewswire Inc. • 05/11/2026 09:30:00 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 05/04/2026 12:50:25 PM
- NIO Inc. Provides April 2026 Delivery Update • GlobeNewswire Inc. • 05/01/2026 04:00:00 AM
- ON Semiconductor Deepens Partnership With NIO on 900V EV Technology • IH Market News • 04/27/2026 10:27:08 AM
- onsemi and NIO Expand Strategic Collaboration to Accelerate Next-Generation 900V EV Platforms • GlobeNewswire Inc. • 04/27/2026 09:00:00 AM
- NIO Inc. Files Its Annual Report on Form 20-F • GlobeNewswire Inc. • 04/10/2026 12:30:00 PM
- NIO reports March deliveries of 35,486 vehicles, up 136% year over year • IH Market News • 04/01/2026 02:04:27 PM
- NIO Inc. Provides March and First Quarter 2026 Delivery Update • GlobeNewswire Inc. • 04/01/2026 09:30:00 AM
- NIO Inc. Reports Unaudited Fourth Quarter and Full Year 2025 Financial Results • GlobeNewswire Inc. • 03/10/2026 10:30:00 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 03/02/2026 11:05:40 AM
- NIO Inc. Provides February 2026 Delivery Update • GlobeNewswire Inc. • 03/01/2026 07:30:00 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 02/26/2026 11:17:06 AM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 02/26/2026 11:03:29 AM
- NIO Inc. to Report Unaudited Fourth Quarter and Full Year 2025 Financial Results on Tuesday, March 10, 2026 • GlobeNewswire Inc. • 02/26/2026 09:35:00 AM
- NIO Inc.’s Subsidiary Enters into Definitive Agreements for RMB2.257 Billion Investment • GlobeNewswire Inc. • 02/26/2026 09:30:00 AM
- NIO Inc. Announces Profit Alert for the Fourth Quarter of 2025 • GlobeNewswire Inc. • 02/05/2026 10:00:00 AM
- NIO Inc. Provides January 2026 Delivery Update • GlobeNewswire Inc. • 02/01/2026 08:00:00 AM
- Form SCHEDULE 13D/A - General Statement of Acquisition of Beneficial Ownership: [Amend] • Edgar (US Regulatory) • 01/13/2026 09:09:27 PM
- Form SCHEDULE 13D/A - General Statement of Acquisition of Beneficial Ownership: [Amend] • Edgar (US Regulatory) • 01/08/2026 06:42:19 PM
- Form 6-K - Report of foreign issuer [Rules 13a-16 and 15d-16] • Edgar (US Regulatory) • 01/02/2026 09:06:32 PM
