Great point about "roll fever" you can make some great money taking the stock not rolling and having a higher call for capital appreciation plus call premium.
As with all of the rest of us managing portfolio's the overall return on the portfolio is also critical to our success. You might in future video's consider speak about your portfolio returns...Thanks for the video Jim.
Hey Jim! Great video. However, I don't agree with the way you figure out your annualized returns on credit spreads. You should take into consideration the money it will cost you if you do get assigned. That would bring down those ROI's substantially. Just my opinion. Regardless, I love the content. Keep it coming.
Thanks for sharing. I'm assuming you mean for spreads. Use the full amount for assignment. I do this for covered calls and cash secured puts. Might change that for any I'm not running for cash. For instance IWM. The others would use full value.
Interesting point however making assumptions about what "may" happen is filled with problems. I write credit spreads all day long expecting them all to expire worthless. If I assumed they all ended up as assigned I'd never sell a single one of them. I'm not trying to own stocks, like Jim may be doing, but to sell time premium that the market is willing to provide. Its a slightly different strategy than selling options in attempt to own the stock.
Thanks Jim I’ve learned a lot from your channel, just wondering how much $ do you use on average to generate those weekly income. Thanks much appreciated
Hi Jim What is the size (in dollars) of the portfolio that you need to generate $2k per week in these various options trading strategies? 5-7!trades per week using $x in capital/shares ??
Typically, I have been able to make between 1 and 3% monthly. If you make 1% then around 800k, 2% 400k ... Duvide the monthly amount by the percent. This relates to what I can do. If just starting out your monthly return will be less. As you move up the learning curve the higher your return.
Great point about "roll fever" you can make some great money taking the stock not rolling and having a higher call for capital appreciation plus call premium.
Another great video! Thanks Jim.
Don't only mention about the income figure, please also mention about the stock you get assigned by selling cash secure put.
Good point. This video related to one week. Did get assigned CVS, SHOP and PATH recently. Still trying to decide about PATH.
How do you size your position on the VPCS? Is it a percentage of portfolio? is it based on the premium available? thx!
It's a bit of both. I'm trying to make around $100 to $150 on each contract and to keep the percentage of assets below 5%.
Appreciate this channel, Jim! Keep the content coming!
Thanks, will do!
As with all of the rest of us managing portfolio's the overall return on the portfolio is also critical to our success. You might in future video's consider speak about your portfolio returns...Thanks for the video Jim.
Thanks for the suggestion. I agree.
I’ve learned so much in the past 3 weeks since I joined your membership. I can’t thank you enough Jim
Thanks. Glad to help.
Ps, I am learning well from being part of your trading group.
Hey Jim! Great video. However, I don't agree with the way you figure out your annualized returns on credit spreads. You should take into consideration the money it will cost you if you do get assigned. That would bring down those ROI's substantially. Just my opinion. Regardless, I love the content. Keep it coming.
Thanks for sharing. I'm assuming you mean for spreads. Use the full amount for assignment. I do this for covered calls and cash secured puts. Might change that for any I'm not running for cash. For instance IWM. The others would use full value.
Interesting point however making assumptions about what "may" happen is filled with problems. I write credit spreads all day long expecting them all to expire worthless. If I assumed they all ended up as assigned I'd never sell a single one of them. I'm not trying to own stocks, like Jim may be doing, but to sell time premium that the market is willing to provide. Its a slightly different strategy than selling options in attempt to own the stock.
I tried both but find the best for me is 15 to 45 days out. I find it less time for the stock to collapse on news before exp. Love "FU" money.
Thanks for sharing. I might go shorter to avoid earnings.
Yes Jim, that is also a main reason for a shorter holding for me, to do whatever I can to not hold thru earnings.
Do you ever close for a cost? Do you show this cost on your spreadsheet anywhere to offset some of the profits you record?
Yes. I show it as a loss in the premium column. Closed two Best Buy positions this week.
Thanks Jim I’ve learned a lot from your channel, just wondering how much $ do you use on average to generate those weekly income. Thanks much appreciated
I have 200 k that I use for puts. For covered calls about 509k in investments.
Hi Jim
What is the size (in dollars) of the portfolio that you need to generate $2k per week in these various options trading strategies? 5-7!trades per week using $x in capital/shares ??
Typically, I have been able to make between 1 and 3% monthly. If you make 1% then around 800k, 2% 400k ... Duvide the monthly amount by the percent. This relates to what I can do. If just starting out your monthly return will be less. As you move up the learning curve the higher your return.