The Wheel Strategy
@TigerPM：
The wheel strategy is a popular options trading strategy that involves selling cash-secured puts and, if assigned, selling covered calls. It's a strategy often used by investors seeking to generate income from their stock holdings. Step 1: Selling a put option The first step in the wheel strategy is to sell a put option on a stock you wouldn't mind owning at a lower price. By doing so, you receive a premium from the option buyer. If the stock price remains above the strike price by the expiration date, you keep the premium as profit, and you're free to repeat the process. Step 2: Starting the wheel - own the stocks If the stock price falls below the strike price, you may be assigned to buy the stock at that price. This is where the strategy gets its name, as you're said to be "wheeled" int