Advice(pep here gonna hate me): Long term investing in good business, don't forget diversification

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The intention wasn't necessarily to sell the next day, the stock just happened to hit my target a day later. I would've been perfectly happy to hold for longer. More details below : My style of trading essentially involves analyzing a stock, identifying an upside target within a specified time-frame and then buying an option at a strike price that would guarantee a 200%+ return if the price target is achieved by expiration. I then tack on roughly 3-4 months of duration on top of the contract as margin of safety. For $PEP the upside target is around $190 by early next year. Buying January $180 calls at $3.6 would imply a 250% return which also meets my criteria. But it fails to meet my 3-4 month additional margin of safety. Which is why I actually intended to trade January 2026 calls first, but the option chain wasn't liquid enough and the spreads were wide and wonky. All of the option chains after January 2025 were too wonky. So I ended up going for the January 2025 calls, this is typically more risky than my usual trades. My intention is to essentially trade around this position until $190. My take profit today was just part of that position management. So the plan is to hold until $190 and trade around the volatility to increase the position size at no cost. Which will improve the overall return once the $190 target is achieved. Obviously the risk with this is that you can miss a big move if you take profit too early and plan to get back in too late. I fully accept that risk. A lot of baggage is attached to options the closer the expiration is. In many cases the trade can and will move in the right direction and your position will not gain or will in fact lose value due to how volatile the VIX is during these sharp market sell offs. Implied volatility will affect contracts with far out expirations a lot less. You also don't have to worry about any theta decay.

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Bought 111 $PEP January 2025 calls yesterday at $3.6 Sold earlier today at $5.5. Those calls ended yesterday at $3.9, so there's \~$3K in profit from yesterday. The screenshot only shows today's return. The sell order was set since yesterday and it got filled before I could get a screenshot of the position. This was a defensive trade and it served its purpose. Now I'm waiting for the bottom to swing back into risk-on sectors.

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You went too aggressive with chip stocks this late in the cycle. Time to pivot and buy dip stocks PEP, KHC, MKC. Spreads and salsas are good defensively during pullback.

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I am staring at my ABT, JNJ and PEP It starts to get awful red below that. Better luck tomorrow, stay strong everyone

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🌈 Diet Mountain Dew is the official drink of the 2024 election PEP might get a boost here https://youtu.be/sEetXo3R-aM?si=ejanpGdMzW2nalLW

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$PEP

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Cheatle resigns... calls on PEP?

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I played the right side of PEP before and after earnings, like to hope I'll do the same for KO. Think it'll follow, but I'm highly regarded.

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