Instincts OFF. VADER ON: The $11,896 System Run Report
Your brain is wired to lose money on options.
Evolution taught you to fear uncertainty, avoid risk, and panic during volatility, which are perfect traits for surviving saber-tooth tigers, but terrible traits for trading options.
Success forces you to do exactly what feels wrong: selling when others buy, staying calm when others panic, and treating expirations like boring business transactions.
Yet if you can override those ancient instincts — $11,896 in premium and 85% annualized returns become not just possible, but repeatable.
In today’s issue of the Multiplier:
Performance review of 15 open CC positions that generated those 85% returns in 13 days of average exposure; What's working, what needs watching, and what requires surgical precision.
Fresh VADER Opportunities — 22-155% yield potential across three risk tiers, perfectly positioned for this week's CPI/Fed volatility cycle.
My exact battle plan for this week for managing existing positions and deploying new capital.
Our core strategy remains elegantly simple: we harvest profits from volatility rather than predicting direction.
The four-step loop continues working:
Each contract sold leverages time decay, working in our favor.
Stock prices need to move against us faster than theta erosion—a scenario that favors us roughly 70% of the time when properly executed.
The VADER (Volatility Arbitrage Dividend Enhancement Return) algorithm serves as our systematic screening engine. It hunts for elevated implied volatility that creates attractive risk-adjusted income opportunities.
This week's selections span three risk profiles: Conservative provides steady income; Balanced hits sweet spots for growth-oriented portfolios; Aggressive plays deliver maximum yield and higher risks.
With this systematic methodology established, here's how it performs under live market conditions.
Performance Review: Current Position Statuses
Our active book currently holds 15 contracts, targeting an average 85% annualized yield. Portfolio health shows balanced risk distribution:
40% Green: Running on autopilot
40% Yellow: Monitoring key triggers
20% Red: Strategic intervention required
Financial exposure: $118.96 per share ($11,896 aggregate) with 13 days weighted average expiration. This timeframe optimizes theta decay acceleration while minimizing gamma risk.
While these 15 positions work toward their expirations, let's examine what just crossed the finish line.
Review of Settled/Closed Winners (June 6-7 Expirations)
Textbook execution across all outcomes. The UNH 06‑Jun 330 C expired worthless, freeing 100 shares for immediate redeployment.
The three assignments locked in substantial capital appreciation.
PFE gained $0.35 per share above the $23.00 strike.
AMD gained $11.27 per share above the $105 strike.
NVDA delivered $16.72 per share above the $125 strike.
These "forced sales" occurred at prices we had pre-approved, demonstrating the power of selling calls above our cost basis.
VADER's Fresh Picks: New Premium Opportunities (June 8, 2025)
Now for the fresh opportunities our VADER just identified.
The system hunts for elevated implied volatility and converts it into income across three risk levels.
The allocation stays disciplined:
50% → Tier 1 (Conservative Income) for 20-30% yields with 7-12% OTM buffers.
30% → Tier 2 (Balanced Approach) targeting 40-80% yields with 1-5% cushions. 20% → Tier 3 (Aggressive Income), chasing 60-160% yields with minimal buffers.
Handle with care and please don't follow these picks blindly — it is a must to understand your risk capacity & consider your financial situation. I have a high risk tolerance and years of options experience—your situation may be completely different.
Disclaimer: The tables below show how I screen for income. They are not trade recommendations, signals, or financial advice. Use them as an educational foundation only—back-test, sanity-check, and consult a licensed professional before risking a nickel.
🔒 Tier 1: Conservative Income
Let's walk through how Tier 1 conservative income actually works in practice.
Take AMD, currently trading at $116.19. Instead of hoping it goes up, we're selling someone else the right to buy our shares at $125.00 for $3.20 per share.
Meaning: We collect 25.13% annualized income while AMD needs to gain nearly 8% just to reach our strike price. The 0.34 delta tells us the market sees roughly one-in-three odds of that happening. Meanwhile, we pocket the premium regardless.
Why This Works: AMD just bounced off $112 support and faces resistance at $120. We have 40 days covering two earnings cycles—plenty of time for theta decay to work its magic. The company's AI and data center positioning supports current valuations.
The Edge: Sector volatility pumps up implied volatility, inflating our premium to $3.20 for this conservative play. The $0.05 bid-ask spread keeps transaction costs minimal. Win-win-win scenario.
⚖️ Tier 2: Balanced Approach
Keep reading with a 7-day free trial
Subscribe to The Multiplier to keep reading this post and get 7 days of free access to the full post archives.