$Alibaba(BABA)$
I am trading in options since year 2021. I find this selling put options strategy allow you to earn premium even if you never buy the share at the strike price. I learnt from the "Oracle of Omaha," Warren Buffett, is not only a stock market expert but also skilled in options trading. He successfully utilized selling put options to lower the buying cost.
A lot of stocks have strong fundamentals, such as Alibaba, Goggle, Amazon, Apple, Tesla, Nvidia, and Microsoft. If you want to "buy the dip" into one of them and you have a target price. Try to set a strike price that you are willing to buy, and sell puts to make extra profits even if you don't buy the shares. Just like Buffett did.
Key takeways of selling put options
1、You need to be willing to buy the underlying stocks Don't sell puts that you don't want to buy. Choose a company with strong fundamentals and long-term value
2、Sell at a strike price that you are comfortable to buy at If you particularly want to buy a stock. Don't set the strike price too low, so that you will never be able to buy it. Selling puts on a downtrend can allow you to earn more premiums.
3、Ensure there is enough margin to exercise options. The margin is based on the purchase margin requirement for the stock. If there is insufficient margin when the options are exercised, it may result in forced liquidation.
4、Don't oversell options. Take note when there is not enough margin to take over when the stock price falls below the strike price, or when you don't want to buy that much shares.
5、Believe in the compound interest effect. Don't be disdainful of earning the premiums. Believe in the effect of long-term compound interest.
The screen shot that I am sharing are those sell put option that I had earned when the market dip. I do not need to own the share but I already making profit from it. I can actually close the sell put option to terminate the contracts.
Please do your own diligent research/study before you start to trade options. No matter what kind of investment, there is still a risk involve. @Fongtf @MalcolmEmily @Ketsara @LMSunshine @Derren_Tan @Fenger1188 @Silver Hammer @BullishKing @Nellz @Julian1380 @WingCheong @Haleystar Give me a like to support my article. Thanks
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巴巴突破更高由于中国宏观。但是，如果我们回到这个8月初的大规模大宗交易卖家之上，他在7日抛售了165万股，那么接下来就是巨大的上行缺口...但是，如果我们不能清除这些障碍，那么我们就可以快速填补最近的下行缺口。
巴巴最近的股价下跌似乎已经相当平稳，这意味着市场目前已经对与中国敞口相关的大部分风险进行了定价。其次，该公司的估值已经大幅上升，管理层正在回购稀释后的股票数量，这可能导致未来每股收益更高，股价不断上涨。净净，这个想法有81%的机会在到期前赚取最大利润，结合积极的价格行动，坚实的基本面，以及最近的支撑位，让我们在这里放心冒险。
Amazon has exhibited a consistent upward trajectory over the past few months and has reached resistance.