Closing two calls on the same day wasn’t a coincidence — it was the market telling me both positions had done their job.
On August 18, I bought back both the QUBT 10C and the RGTI 20C. Two quantum-computing stocks, two covered calls, closed back to back. Net realized P&L: +$147.75 (after fees, broker settlement basis). Here’s what was going through my head.
1. Where These Legs Came From
QUBT and RGTI are the most volatile names in my portfolio — the “high risk, high premium” type.
- QUBT: 300 shares at $9.66 cost; sold 3 × AUG 28 ‘26 $10 Calls at $0.403 avg, collecting $120.75
- RGTI: 200 shares at $17.86 cost; sold 2 × AUG 21 ‘26 $20 Calls at $0.423 avg, collecting $84.50
The logic was textbook Covered Call: keep the stock, collect rent, lower cost basis.
2. Why August 18 Was the Day
QUBT: The Stop-Loss Line Was Already Broken
The stock was at $8.70, below my stop line of $8.92. When a stock is trending down, the protective value of a CC drops fast. Holding on meant either gambling on a bounce back to $10 or accepting assignment — neither appealed.
The Aug 17 report already suggested buying back (est. $48); I delayed a day. The stock kept falling and the buyback got even cheaper — this time luck was on my side, but luck is not a strategy. Stop discipline exists so every decision has a rule, not a hope.
RGTI: FOMC Minutes Ahead + IV at 92%
The 20C had only 3 days to expiry, stock at $18.02 vs $20 strike (10% away). Looked safe — until you see the variables:
- IV at 92% — for quantum names this isn’t the norm, it’s a powder keg
- FOMC minutes on Aug 19 — the night before a macro event, high-beta small caps are the first to break
Gambling the last $18 of theta against a minutes surprise was a bad trade. Locking in 70% of the premium and letting the market digest its own risk was the right call.
3. The Numbers
📒 Ledger detail (click to expand)
| Leg | Premium Received | Buyback Cost | Net Profit | Return |
|---|---|---|---|---|
| QUBT -3 AUG28 10C | $120.75 ($0.403) | $30 ($0.10) | +$88.52 | +73% |
| RGTI -2 AUG21 20C | $84.50 ($0.423) | $24 ($0.12) | +$59.23 | +70% |
| Total (after fees) | $205.25 | $54 | +$147.75 | +72% |
Total +$147.75 is the broker-settled realized P&L (incl. fees). QUBT +$88.52, RGTI +$59.23 — both per the IBKR Activity Statement.
We kept 72% of the premium. The 28% we gave up (~$57) bought us freedom from assignment risk, event risk, and capital lock-up — worth every cent.
4. Closing a Call ≠ Selling the Stock
After the buyback, both QUBT (300 sh) and RGTI (200 sh) became free positions again.
- If QUBT bounces back toward $9.66, I can reassess selling a new CC
- If RGTI holds after the minutes, I keep the full upside
Options are tools you add to a position, not locks you put on it. Unlock when it makes sense.
5. Three Takeaways
- Act on the day your stop-line breaks — don’t delay. This time the delay paid off, but treating luck as a system is what beginners do.
- High-IV sellers reduce risk before events. Before FOMC/CPI/earnings, a 92% IV with 3 days left isn’t an opportunity — it’s a risk.
- Banking 72% beats sitting at the table for 100%. In options, profit isn’t only counted when you collect everything.
When every account red line is lit (1.78x leverage), every buyback is loosening the knot. That matters more than opening a new position.