Daily Options Selling Strategy | News of a ceasefire drove a surge in US stocks in the previous trading session, but Circle and Palantir faced headwinds with a high open and low close. How can options be used to hedge risks?

1. Market Barometer: US stocks rebounded sharply in the previous trading session, but the ceasefire situation may be fragile.

In the previous trading session, US stocks were boosted by a two-week temporary ceasefire between the US and Iran, leading to a significant recovery in market risk appetite, with all three major indices rising more than 2%.Technology and semiconductor stocks led the gains, while airlines and tourism rebounded.

However, the ceasefire situation remains fragile:Israel's airstrikes on Lebanon and reports of the closure of the Strait of Hormuz indicate persistently high geopolitical uncertainty. The Fed minutes released in the early hours today showed that the war has pushed up inflation expectations, casting doubt on the timing of interest rate cuts. The sustainability of the short-term rebound depends on navigation through the strait and progress in negotiations on April 11.

II. Focus on Hot Targets

$Circle (CRCL.US)$ : Regulatory overhang weighs, rebound meets resistance

The first stablecoin stock $Circle (CRCL.US)$ Opened higher but closed lower in the previous trading session, after returning above $100, it fell back steadily to close at $94.44 (+0.34%), showing significantly weaker performance compared to the broader market.

The positive support comes from the overall recovery of the crypto market, $Bitcoin (BTC.CC)$ which briefly surpassed $72,000 on Wednesday. The recovery in the crypto sector has driven $Circle (CRCL.US)$ a pre-market surge in the previous trading session, with gains temporarily exceeding 7%.

The core negative factor stems from fluctuations in U.S. regulatory policies.On April 8, the U.S. Treasury Department is set to release a proposed rule requiring stablecoin issuers to have the ability to freeze transactions. Combined with the FDIC proposal explicitly stating that stablecoins will not be covered by deposit insurance, this has caused compliance costs for stablecoin issuers to soar while limiting business flexibility, directly interrupting upward expectations. Institutional funds took advantage of the positive news to sell off, with short-term policy risks dominating valuations.

$Palantir (PLTR.US)$ : AI competitive advantage questioned by major short sellers + easing geopolitical tensions trigger valuation reassessment

AI application company $Palantir (PLTR.US)$ The previous trading day saw a sharp decline of 6.20%, closing at $140.76, in stark contrast to the majority of surging tech stocks.

The bearish factors mainly stemmed from public backlash compounded by Anthropic's launch of Agents."Big Short" Burry openly criticized, stating that "Anthropic is eating Palantir's lunch." He believes that Anthropic provides 'simpler, cheaper, and more intuitive' enterprise solutions and is growing at an astonishing pace (with ARR increasing from $90 billion to $300 billion in just a few months), posing a substantial competitive threat to Palantir.

Meanwhile, Anthropic announced the launch of Managed Agents, an AI system capable of independently executing multi-step, long-cycle tasks, directly threatening the SaaS business model of traditional enterprise software like Palantir, which charges per 'seat'.The market is concerned that this more efficient AI infrastructure will weaken Palantir’s platform advantage.

The company itself has a high valuation and is deeply tied to the U.S. Army and Navy.A retreat in geopolitical risks raises questions about the growth of its government orders.The stock price may face pressure amid expectations of a ceasefire.

Third, the sell-side options strategy (Covered Call).

1. Hold 100 shares. $Circle (CRCL.US)$At the same time, sell one CRCL 20260515 120C

Opportunity filtering logic:

As the main issuer of the US stablecoin USDC, CRCL has transitioned from a 'crypto speculative target' to federally regulated financial infrastructure following the passage of the Genius Act, showcasing long-term investment value. Investors holding the stock are concerned about potential regulatory headwinds for stablecoins, fearing both a drop in share price and missing out on future gains if they sell. In this scenario, selling a Call can reasonably reduce holding costs. The $120 strike price is below the analysts' average target price ($142.14), making it a reasonable range for enhancing returns. Even if exercised, selling at $120 would still lock in profits relative to the current price.

2. Hold 100 shares $Palantir (PLTR.US)$At the same time, sell one PLTR 20260508 160C

Opportunity filtering logic:

Palantir exceeded expectations for its full-year 2025 performance. Its 'Forward Deployed Engineer' (FDE) model embeds engineers directly into client sites, integrating AIP and Foundry platforms deeply into core business processes such as production, supply chain, and anti-fraud operations, enabling AI to solve complex real-world problems effectively, creating a strong competitive moat. As the designated core software developer for the US Department of Defense's anti-missile defense system, PLTR’s government revenue visibility extends to 2028, offering long-term investment value. Short-term bearish sentiment may create headwinds for the stock price. Investors holding the stock can lower their cost basis by selling Calls while collecting premiums. The $160 strike price sits above the 60-day moving average, and with the stock currently in a short-term downtrend, the probability of being exercised remains low.

IV. Risk Control Reminder

Although the seller strategy has a high probability of success, investors must still manage risks effectively:

Position management is key:The biggest risk for the seller strategy lies in black swan events.It is recommended that margin usage for a single position should not exceed 20% of total capital. Never sell options beyond your capacity to handle them just for the sake of greedy premium collection.

Timely rolling of covered call options:When a covered call option becomes deeply in-the-money (stock price far exceeds the strike price), and if the underlying stock is still viewed favorably, decisively 'roll' the position — that is, close the current option by buying it back and simultaneously sell an option with a later expiration date and a higher strike price to avoid having the stock called away at a low price.

Case Selection Criteria

Open Futubull >> Market >> Options >> Seller Zone >> Filter; Common screening criteria for Cash Secured Put and Covered Call strategies: IV Percentile > 40%; Total option volume > 60,000 contracts; Days to expiration 0-45 days; Daily option volume/open interest > 500 contracts; ROI > 2%; Annualized ROI > 30%. Cash Secured Put: OTM Probability > 60%; Covered Call: OTM Probability > 70%;

Underlying selection rule: For each strategy, select the underlying asset with the highest probability of profit. Probability refers to the likelihood that the option contract will not be exercised, i.e., the out-of-the-money probability. The higher the probability, the lower the chance of assignment, and the greater the likelihood of earning steady option premiums. Data source: Futubull, information as of the closing price of the previous trading day; All data and information in the Option Seller Zone are for reference only and do not constitute any investment advice.

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Options Risk Warning

An option is a contract that grants the holder the right, but not the obligation, to buy or sell an asset at a fixed price on a specific date or at any time before that date. The price of an option is influenced by various factors, including the current price of the underlying asset, the strike price, time to expiration, and implied volatility. Implied volatility reflects the market’s expectations for the level of volatility in the option over a future period. It is a data point derived inversely from the Black-Scholes option pricing model and is generally regarded as an indicator of market sentiment. When investors anticipate greater volatility, they may be more willing to pay a higher price for options to hedge risks, resulting in higher implied volatility. Traders and investors use implied volatility to assess the attractiveness of option prices, identify potential mispricings, and manage risk exposure.

Disclaimer

This content does not constitute any offer, solicitation, recommendation, opinion, or guarantee for any securities, financial products, or tools. The risk of loss in trading options can be substantial. In some cases, losses may exceed the initial margin deposited. Even if you set contingent orders such as 'stop-loss' or 'limit' orders, these may not prevent losses. Market conditions may prevent these orders from being executed. You might be required to deposit additional margin within a short period. If you fail to provide the required amount within the specified time, your open positions may be liquidated. However, you will still be responsible for any shortfall in your account. Therefore, before trading, you should study and understand options and carefully consider whether such trading is suitable for you based on your financial situation and investment objectives. If you trade options, you should be familiar with the procedures for exercising options and the rights and obligations upon exercise and expiration. Option trading involves extremely high risks and is not suitable for all investors. Investors should read carefully before engaging in any options trading strategy.Characteristics and Risks of Standardized Options。

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