The "Wheel" Options Strategy - A Step By Step Walkthrough Of This Powerful Proven Trading Strategies скачать в хорошем качестве

The "Wheel" Options Strategy - A Step By Step Walkthrough Of This Powerful Proven Trading Strategies

➡️ Updated Version for 2025:    • Get Paid to Wait: The Wheel Strategy Expla...   The Wheel Options Strategy - Proven Trading Strategies This strategy is like “getting paid while you wait to buy a stock”. This is also one of the strategies known to be used by Warren Buffett. This strategy is used on a stock that you're bullish on. For instance, let’s say that you’re wanting to buy shares of a particular stock. However, this stock is currently trading much higher than your entry point. Typically you would wait until the stock price moves lower before loading up on shares. For this example, we’re going to use the stock ticker SQ. In this scenario, SQ is currently trading at $121.5 and you want to purchase the stock when it hits $100. You’re bullish on this stock and you expect the price to go up, but you’re looking for the right entry point. Because you want to buy this stock at $100, you sell a put option contract at the $100 strike price and receive a credit of $3.50, or $350. In this example, we execute the trade and the margin required for this position is only $1,000. Without a margin, the cost would be $10,000. If the put option contract expires and the strike price is still above $100, you get to keep the $350. This would be a return of 3.5% in 35 days, which is the length of the contract expiration. The stock is STILL above your entry point, but now you've earned 3.5% Let’s say you repeat the process again, and you sell another put option contract at the $100 strike price. BUT the strike falls below $100 at expiration. If the strike price fell to $90 at expiration. You would be assigned 100 shares of SQ stock at $100 each. Since the strike price is currently at $90, and you purchased the shares at $100, there is an unrealized loss of $1,000. However, In this same transaction, you also made $350 in premium. Because you're longterm bullish on these shares, you do not sell them at $90 so there would be no loss realized. If you chose to sell them at $90, there would be a loss of $650. ($1,000-$350=$650) Since you're the proud owner of SQ shares that you've purchased for $100, you can now sell call options against them! Let’s say that you sell a $110 call option for 35 days out, with an expiration date of SEP 18. The premium received for selling this call option contract is $500. As the expiration date approaches, the strike price moves down to $80. This would be an unrealized loss of $2,000 in the values of the shares, but you still earned a $500 premium. Because you're long-term bullish on these shares, you do not sell them. There is no realized loss, and you earned $500 in premium. Up to this point, you were able to earn more than an 8.5% return, AND you purchased you still own the stock. If the stock trades sideways, and you still a call option contract, you STILL win with this strategy. The stock didn't increase in value, but you earned premium by selling call options. If you sold a $110 call option, and the strike price moved up to $120, you earn $1,000 from the shares and the premium from the option contract. Then you start the cycle all over again, because "the wagon wheel keeps turning" Key Points: 1.) A powerful strategy that can deliver 30% per year, rather "safely". In this example, we earned 8.5% in 70 days which is more than 43% per year. 2.) It's important you choose a stock that is trending positive. ============================================================================================= ✅ First, subscribe to my channel here so you never miss a new video: https://bit.ly/3aLKLDz 📺 Watch My Daily Trading Routine that takes me less than 15 minutes a day: https://go.rockwelltrading.com/my-tra... 📕Get a FREE Hardback Copy Of My New Book “The Wheel Options Trading Strategy”: https://go.rockwelltrading.com/the-wh... 💻 Need a broker? We prefer trading using Tradier! Sign up here: https://go.rockwelltrading.com/tradie... 📈 TradingView is my favorite charting platform. I use the Pro Version: https://go.rockwelltrading.com/tradin... ================================================================================ tastyworks, Inc. (“tastyworks”) has entered into a Marketing Agreement with Rockwell Trading Services, LLC whereby tastyworks pays compensation to Rockwell Trading Services, LLC to recommend tastyworks’ brokerage services. The existence of this Marketing Agreement should not be deemed as an endorsement or recommendation of Rockwell Trading Services, LLC by tastyworks and/or any of its affiliated companies. Neither tastyworks nor any of its affiliated companies is responsible for the privacy practices of Rockwell Trading Services, LLC or this website. tastyworks does not warrant the accuracy or content of the products or services offered by Rockwell Trading Services, LLC or this website. Rockwell Trading Services, LLC is independent and is not an affiliate of tastyworks.