Sell weekly put options
Flexibility is sell weekly put options and all, but you are probably asking yourself, what specific strategies should I use to generate weekly profits from weekly options? In other words, he starts with an objective view of market activity and looks for opportunities rather than just taking a DTE trade. There is a PDF document linked below where you can see a sample trade.
A while back I ran across a presentation by Ali Pashaei on directional options trading and I added Ali to my list of people to follow. I will read the pdf document and see what I can learn. Well sell weekly put options no further, I have the strategy for you: Ali has been actively trading options sinceconsiders Charles Cottle a mentor, and successfully manges his own and family money.
It sounds quite interesting. I have not tried this strategy since it requires a lot of margin. However, you can reduce the max potential loss and margin requirement by simply purchasing a higher strike call i.
By mid sell weekly put options on August 31, 48 hours into the trade, the upper limit of profitability was being approached as shown below:. The CBOE has several papers on put selling strategies and there are now multiple indexes to track various strategies. Weekly Options Covered Calls.
Shortly after adding the additional calendar spread, AMZN retraced some of its recent run up and neither BE point of the calendar was threatened. Hit and run calendars differ in risk somewhat. Ali recently presented a trade that uses a weekly short put in SPY as the foundation. I will read the pdf document and see what I can sell weekly put options. EST and the course will be recorded.
Thus traders can now more cost-effectively trade one-day events such as earnings, investor presentations, and product introductions. Hit and run calendars differ in risk somewhat. A while back I ran across a presentation by Ali Pashaei on directional options trading and I added Ali to my list of people to follow. Sell weekly put options, rather than simply roll or close positions, Ali is defending the puts using various adjustments including rolling, vertical spreads, and butterflies.
The PDF is interesting and will give you some clues. Calendar spreads reliably achieve their maximum profitability at the expiration Friday afternoon of the short leg when price of the underlying is at the strike price. In essence, what you are looking to do in this strategy to is to sell weekly call options against existing stock holdings covered calls or purchase shares and simultaneously sell weekly call options against the new stock holding buy-write. There are several different pricing structures for the course.