Drdeedee
04-01

One of the best income strategy for me is to sell Tesla vertical where I strike very far such that there are low change of stock assignments. Though the return is small but if you do it as a vertical , the return is still very good with high volatility stocks like Tesla. For eg 6.2 percent for a strike of 145/125 put vertical for 26 days. This is about 20 percent strike away from current low with delta of may be -0.1. A pretty safe income strategy. What do you think? 

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Comments

  • Drdeedee
    04-08
    Drdeedee
    Because you want high income and strike very near. If you dont strike too near with 0.1 delta, it is ok. Anything better than deposit interest or 10-20 percent interest a year is decent
  • Matthew Rich
    04-05
    Matthew Rich
    i have done 1000 contracts sell put vertical before. quite risky to earn a very small income. cos for vertical u need to close take profit and cannot wait expiry as the sell put leg is still risky. vertical are high risk products as well
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