Expecting markets to move lower in the coming weeks.  For those who believe certain stocks are worth picking up slightly below current levels, it might be best to sell puts with short duration of a week to a month max and try to pick up the stock at a good entry price.  Even if the stock price doesn't hit the strike price, you still get paid.  In the event of adverse future events, the options are also easier to get into and out of than the stock itself.  To avoid unnecessary risk, writing putson defensive stocks such as utilities, healthcare and consumer staples are a good bet. On the flip side, those not looking to pick up any stocks but wish to play the downside or hedge risks to current holdings can buy puts to capture profits as stocks (growth names especially) are likely to decline as markets continue in a bear market.