There's a compelling options trading approach for those holding Nvidia positions looking to squeeze out extra yield. The strategy involves selling covered calls against existing stock holdings—basically collecting premium income while maintaining upside exposure.

Given Nvidia's volatility patterns lately, short-dated options can generate decent returns without excessive risk. The key? Strike selection matters. Too aggressive and you cap gains during momentum runs; too conservative and premium income barely moves the needle.

For tech stock holders exploring income generation beyond just holding, this tactical overlay deserves consideration. Especially when implied volatility spikes during earnings seasons or chip sector rotation.