Managing NVDA Credit Spreads as the Portfolio Crosses $12K

Portfolio Value: $12,189
Weekly Change: +2.6%
YTD Return: +15.33%
Options Premium Collected: $46

As of April 17, 2026, the portfolio increased by +2.6%, closing at $12,189. This was the first time the portfolio crossed the $12,000 mark.

On a year-to-date basis, the portfolio is up 15.33%, outperforming both the S&P 500 (+3.88%) and NVDA (+6.06%) over the same period.

NVDA Rally Makes Put Selling More Difficult

This week I was traveling in Berlin and paid relatively little attention to the stock market.

I did notice, however, that NVIDIA (NVDA) moved toward the $200 level. That is positive for the long-term stock position, but it also makes new options trades more difficult.

As a put seller, strong rallies can create a problem. Put premiums often become less attractive, while the risk of a sharp pullback increases. That makes it harder to sell cash-secured puts or bull put credit spreads at levels that still offer a reasonable margin of safety.

Despite that, NVDA remains the anchor position in the portfolio, and I continued using defined-risk credit spreads to generate premium income.

For readers unfamiliar with this strategy, see: Bull Put Spread Strategy: A Complete Beginner's Guide.

Current Options Positions

NVDA Apr 24, 2026 190/180 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 main position to monitor remains the NVDA 190/180 bull put spread. If the position comes under pressure, the plan is to roll forward when appropriate, preferably for a net credit.

I have written more about this process here: How to Manage a Credit Spread When the Trade Moves Against You.

Adding a Deutsche Bank Credit Spread

While in Berlin, I also opened an opportunistic credit spread on Deutsche Bank shares traded in Frankfurt.

The position was:

DBK FRA Jun 19, 2026 24/20 Bull Put Credit Spread

This was not part of a large strategic shift. It was more of an impromptu trade that generated approximately €63 in additional euro-denominated income.

Since the portfolio already holds Deutsche Bank shares listed on the NYSE, this position added incremental exposure to a company already familiar to the portfolio.

Credit Spreads vs Cash-Secured Puts

This week is another example of why I often prefer bull put spreads over cash-secured puts when working with limited capital.

Cash-secured puts can be useful, especially when the objective is to acquire shares. However, they require substantially more buying power.

Credit spreads allow the portfolio to generate premium income while keeping maximum risk defined and preserving more capital for other opportunities.

For a deeper comparison, see: Bull Put Spread vs Cash-Secured Put: Which Is Better for Small Accounts?.

Reinvesting Premium Into NVDA Shares

Using premium collected from NVDA credit spreads, I added another 0.1 shares of NVDA.

The approach remains consistent: use options income not only for short-term cash flow, but also to gradually compound the underlying position over time.

This is one of the key ideas behind the portfolio. Premium income can help fund additional stock purchases while the portfolio continues building long-term ownership.

Weekly Premium Income and Margin Debt

This week generated approximately $46 in options premium income.

A key objective of the portfolio remains gradually reducing margin debt while maintaining a core holding of at least 100 NVDA shares.

Current margin debt stands at approximately -$3,444.

At a sustained pace of $46 per week, it would theoretically take around 75 weeks to eliminate the margin balance.

That makes it increasingly clear that reducing the margin balance to zero during 2026 may be difficult without either increasing risk or extending the timeline.

I prefer the second option.

Taking additional risk simply to accelerate debt reduction can create larger problems later. The priority remains long-term portfolio stability.

I discussed realistic premium targets in more detail here: Can You Really Earn $100 Per Week Selling Options?.

Covered Call Position Remains Important

The portfolio continues to hold a long-term NVDA covered call:

NVDA Nov 20, 2026 $120 Covered Call

This position remains an important part of the overall strategy, but it also illustrates one of the trade-offs of covered call investing.

Covered calls can generate income, but they also limit upside if the underlying stock rallies strongly.

This is one reason I continue balancing covered calls, credit spreads, and cash-secured puts instead of relying on only one strategy.

Looking Ahead

Next week, the primary position to monitor is:

NVDA 190/180 Bull Put Spread

If this position comes under pressure, the plan remains unchanged:

Roll forward when appropriate
Prefer collecting additional credit
Prioritize portfolio stability over short-term premium targets

Key Takeaway

This week marked an important milestone as the portfolio crossed the $12,000 level for the first time.

More importantly, it reinforced a recurring lesson: rising stock prices are not always easy for options sellers.

Strong rallies can help long stock positions, but they can also make new premium-selling trades less attractive and increase the risk of chasing overextended moves.

The goal remains consistent: generate income, reinvest part of that income into long-term holdings, reduce margin debt 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.

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12189.00

46.00

15.33