Learn the ins and outs of selling put options for monthly income with a performance study in AMZN.
✅ FREE 200+ Page Options Trading for Beginners PDF and email course: [ Ссылка ]
✅ Learn Data-Driven Options Strategies (Course): [ Ссылка ]
✅ Open and fund your first tastytrade brokerage account to earn up to $5,000 in account funding bonuses and get my exclusive options strategy analysis course for free: [ Ссылка ]
✅ Get my exclusive options strategy analysis course for free. Instructions here: [ Ссылка ]
==== Chapters ====
0:00 Download This Video's Presentation PDF (Link Below)
0:33 Buying vs. Selling Put Options
2:58 Short Put Trade Example in AMZN
5:46 Short Put Loss Example in AAPL
7:13 Exercise & Assignment
10:11 Short Put Margin Requirement & Return on Capital
11:17 Selling Put Options in AMZN (Performance Study)
13:38 How to Reduce Risks When Selling Puts
23:22 Learn Systematic Options Strategies
=== Recommended Videos ===
➥ Options Trading for Beginners: [ Ссылка ]
➥ How to Understand Option Prices SIMPLY: [ Ссылка ]
➥ Vertical Spreads for Beginners: [ Ссылка ]
===== Summary =====
In this video, we'll quickly walk through the essential things you need to know about selling/shorting options for monthly income.
The short put options strategy (selling puts) allows traders to make money as long as a stock remains above a specific price (the put's strike price) over time. Because of this, the stock price can go up, sideways, or slightly down and the strategy can make money, giving it a high probability of profit.
If the stock price falls significantly during the trade period, the short put trade will lose money, but not as much as buying 100 shares of stock at the initial trade entry point.
If assigned on a short put, the trader will buy 100 shares of stock at the put's strike price, and can hold the shares indefinitely, or sell them.
In the video, I highlight a monthly put-selling strategy in AMZN to highlight the potential profits and losses the strategy can experience.
Since it is a bullish strategy, I do not recommend shorting puts every month in a down-trending market/stock. I would personally wait for a strong support level (look to the weekly/monthly time frames for the strongest levels) to begin selling puts, and ideally, have short-term moving averages above longer-term moving averages (indicating a bullish trend).
=======
Disclaimer: Nothing contained in our content constitutes a solicitation, recommendation, promotion, or endorsement of any particular security, other investment product, transaction, or investment. Trading Futures, Options on Futures, and retail off-exchange foreign currency transactions involve substantial risk of loss and are not suitable for all investors. You should carefully consider whether trading is suitable for you in light of your circumstances, knowledge, and financial resources. You may lose all or more of your initial investment. Opinions, market data, and recommendations are subject to change at any time. Past performance is not necessarily indicative of future results. I am not a financial advisor. The ideas presented in this video are for entertainment purposes only. You (and only you) are responsible for the financial decisions that you make.
Disclosure: Some of the links in the video description are affiliate links, which means I receive a small amount of compensation if you sign up for these services using my unique link. If you want to support the channel, it's a great way to say thank you! You can always head directly to the websites mentioned in the videos to avoid giving affiliate credit, but you may miss a signup bonus.
#OptionsTrading
tastytrade, Inc. (“tastytrade”) has entered into a Marketing Agreement with Project Finance(Marketing Agent”) whereby tastytrade pays compensation to Marketing Agent to recommend tastytrade’ brokerage services. The existence of this Marketing Agreement should not be deemed as an endorsement or recommendation of Marketing Agent by tastytrade and/or any of its affiliated companies. Neither tastytrade nor any of its affiliated companies is responsible for the privacy practices of Marketing Agent or this website. tastytrade does not warrant the accuracy or content of the products or services offered by Marketing Agent or this website. Marketing Agent is independent and is not an affiliate of tastytrade.
