Learn how to generate consistent income from options. From beginner-friendly covered calls to advanced risk reversals, we break down each strategy with real examples.
Follow real trades from discovery to exit. See how each strategy works in practice.
Selling options at ~30 delta gives you roughly 70% probability of profit. It's the sweet spot between premium collected and risk taken.
30-45 DTE offers the best theta decay rate. Too short and you're exposed to gamma risk, too long and time decay is slow.
Annualized Return on Capital normalizes returns across different expirations. A 2% return in 30 days beats 3% in 90 days.
Never risk more than 5% of your portfolio on a single position. Consistent small wins beat occasional big losses.
Only sell puts on stocks you'd happily own at the strike price. If you wouldn't buy the shares outright, don't collect premium on them.
Higher premium means higher risk. The market prices options efficiently—if a trade looks too good, understand what risk you're being paid to take.
Use screeners as a starting point, not a final decision. Always verify earnings dates, dividend schedules, and news before entering a position.
Before every trade, map out all scenarios: max profit, max loss, breakeven, and assignment. No surprises means better decision-making under pressure.
If a position would keep you up at night, it's too big. Trade at a size where you can stay rational through volatility and stick to your plan.