Portfolio Value: $12,101
Weekly Change: -0.72%
YTD Return: +15.38%
Options Premium Collected: $67
As of April 24, 2026, the portfolio declined slightly by -0.72%, closing the week at $12,101.
Since the portfolio is sensitive to movements in the euro, part of the weekly decline was caused by currency fluctuations. The U.S. dollar strengthened against the euro, with EUR/USD trading around 1.17.
For international investors, exchange-rate movements can affect reported portfolio values even when the underlying stock and options positions remain broadly unchanged.
Despite the weekly decline, the portfolio remains up 15.38% year to date, outperforming both the S&P 500, up 4.43%, and NVIDIA, up 10.87%, over the same period.
NVDA Above $200: Why Strong Rallies Can Be Difficult for Put Sellers
NVIDIA moved well above $200 this week, creating a familiar challenge for options sellers.
As a put seller, I become increasingly cautious after strong rallies. Rising stock prices are generally positive for existing long positions, but they can make new premium-selling opportunities less attractive.
When a stock moves sharply higher, put premiums often decline while the probability of a short-term pullback increases. This makes it more difficult to structure conservative cash-secured puts or bull put credit spreads with an adequate margin of safety.
NVDA remains the anchor position in the portfolio, so I continued the weekly premium strategy by opening another defined-risk bull put credit spread.
Current Options Positions
- NVDA May 1, 2026 195/185 Bull Put Credit Spread
- 2x BMY Jun 18, 2026 50/46 Bull Put Credit Spread
- PFE May 15, 2026 25 Cash-Secured Put
- DBK FRA Jun 19, 2026 24/20 Bull Put Credit Spread
- NVDA Nov 20, 2026 $120 Covered Call
The primary position to monitor remains the NVDA 195/185 bull put spread.
If the stock experiences a larger pullback and the position comes under pressure, the plan remains unchanged: roll the spread forward when appropriate and, ideally, collect additional premium in the process.
Reinvesting Premium Into NVDA Shares
Using part of the premium collected from NVDA credit spreads, I added another 0.1 shares of NVDA.
The approach remains consistent: use options income not only to generate short-term cash flow but also to gradually increase ownership of productive assets.
The portfolio now holds approximately 102 shares of NVDA.
This remains one of the central ideas behind the portfolio. Options premium can provide income today while simultaneously helping build larger long-term positions.
Weekly Options Income and Margin Management
This week, the portfolio generated approximately $67 in options premium.
One of the primary objectives remains reducing margin debt while preserving a core holding of at least 100 NVDA shares.
Current margin debt stands at approximately -$3,398.
At a sustained pace of $67 per week, it would theoretically take around 50 weeks to eliminate the margin balance entirely.
Markets, however, rarely move in straight lines. Premium income fluctuates, assignments happen, positions require adjustment, and new opportunities appear unexpectedly.
For that reason, I am comfortable extending the debt-reduction timeline into 2027 if necessary.
The objective is not speed. The objective is survival, consistency, and gradual portfolio improvement.
Why I Avoided Adding More Positions
During the week, I considered opening additional positions in an attempt to move weekly premium income closer to the $100 target.
Ultimately, I decided against it.
One of the easiest mistakes options traders make is forcing trades simply to meet an income target. More premium usually requires more risk, and the available opportunities did not justify the additional exposure.
Sometimes the best trade is the one you do not take.
Maintaining discipline is often more important than squeezing out a few extra dollars of premium.
Credit Spreads vs. Cash-Secured Puts
This week also reinforced why I often prefer bull put credit spreads over cash-secured puts in smaller portfolios.
A cash-secured put on a stock such as NVDA requires a significant amount of capital. A defined-risk credit spread allows me to generate premium while preserving buying power and maintaining greater diversification.
Both strategies have advantages and disadvantages, but for smaller accounts, credit spreads can offer a more capital-efficient way to pursue options income.
The trade-off is that credit spreads provide less flexibility than cash-secured puts and can become more difficult to manage if the stock falls sharply through both strike prices.
Portfolio Performance and Risk Control
An interesting observation is that the portfolio currently generates roughly one-third to one-half of the weekly premium income it produced a year ago.
While that may initially sound disappointing, I view it as a positive development.
Lower premium income can reflect lower risk exposure, fewer forced trades, and more conservative position sizing.
This week's return on capital was approximately 0.47%.
While that falls short of the 1% weekly target I once pursued, it remains a respectable result achieved with a substantially more conservative risk profile.
Over time, consistency is more important than aggressiveness.
Looking Ahead
Next week's primary focus remains the NVDA 195/185 bull put spread.
I will also need to make a decision regarding the Pfizer cash-secured put approaching expiration on May 15.
If any position comes under pressure, the plan remains straightforward:
- Roll when appropriate
- Prefer collecting additional credit
- Prioritize portfolio stability over short-term income targets
Key Takeaway
This week reinforced an important lesson for income-focused investors: strong rallies are not always easy environments for options sellers.
Rising stock prices benefit long-term holdings, but they can make new premium-selling opportunities less attractive and increase the temptation to chase risk.
For this portfolio, the goal remains unchanged: generate recurring options income, reinvest part of that income into productive assets, reduce leverage gradually, and avoid unnecessary risk.
Disclaimer
This trade journal reflects personal portfolio activity and is provided for educational and informational purposes only. It should not be considered investment advice, financial advice, tax advice, or a recommendation to buy or sell any security, option, derivative, or financial instrument. Options trading involves risk and may not be suitable for all investors. All investments involve the possible loss of principal.