Hello, I started selling covered calls and cash secured puts a couple of months ago. Would love to learn more about option selling strategies folks use, how do you the stocks for it and what kind of success you have had. If there is enough interest I can setup a discord channel to exchange ideas. Thanks! TC: 400k
Both credit and debit spreads. I generally do long term ones. I do experiment on the moderately bullish for debit spreads
How far do you go out?
Started with low risk - $100 or so. Then went up till $500 risk. Basically it's not about the amount of risk but the probability of hitting the strike prices. If it's far otm, likely you will put the money in your pocket but again the gains are low in case of credit spreads.
How do you select covered calls choices op?
So far I have done covered calls for AAPL, MSFT. Bought puts for companies like ROKU, BYND, PTON. These picks were based on online reading, Reddit threads, etc. Want to find a more structured approach though. Hence this thread :)
On shwaab there is a tool called as ideas. It gives you strategies with static return for covered calls
Can we start a discord for blind theta gang ?
+1, I would be interested. Have been doing it for the past couple of months but adding more structure and having a group to discuss would be useful. There is already a blind investment group, maybe ask admin if we can create a channel there
I did the same. Next one I'm trying is vertical spreads. Low risk. Limited gains.
How do you find stocks for vertical spreads? I assume these are credit spreads?
High IVR = You sell premium. Low IVR = You buy premium (I don't personally prefer buying)