What do you guys think about options trading? Specifically selling options? I've made 30% in 5 months
>>60979323I’m too lazy and risk averse to hone in on a profitable strategy let alone figure out how it work. I’ve been lazy when it comes to anything numerical my entire life and I’m just gonna accept it. I’ve read the KJV Bible out of intellectual curiosity but I avoid anything mathematical like the plague
>>60979323Planning I doing this when I reach $300k
I have been scared off options by Jew writers and by wojak posters. Both warn against massive losses.Anyone care to try and convince me otherwise?I'm not even clear where the money comes from in options.
>>60979323post proof or sharpie in the butt
>>60979607Not doxxing my acct. Started with 18k in may and have just under 24k today. I don't own any stock, I only sell puts
>>60979433do it it will be funny
>>60979323That's pretty shit returns you're getting for taking on all that risk. I've also made 30% in the last 5 months - but all I did was buy and hold a few stocks.
>>60979775That's why I only do them on big established companies. Even if Microsoft crashes and stock gets put to me, I just will wait until the price recovers and sell a call on it
>>60981492Don't you need like 50k to trade MSFT? If you would get assigned 500P it's 100 shares x 500, no?
>>60981555Yes I trade a 2x leveraged ETF based on MFST but the principle still applies
>>60979733You've made a small amount for the risk you've taken honestly
>>60981748If stock drops and I get the stock put to me, I just wait until the price goes up again to sell a call on it? Explain how that's "high risk"
I really like the idea of trading options but in practice I get greedy and want 10,000% gains
>>60982488If I ever invest in crypto it's not going to be anything other than buying btc low and selling I. 5+ years
This is what I do as a neetThe more I make, the more my mom gives me to trade
>>60979775Yeah, I also need another account for buying and holding stocks. *welp*Time to ask mummy for more $$
Bump
I always wonder myself why i shouldn't do options on spx. if you were going to DCA into sp500, why not just do options. if the option gets negative why just not let it expire and buy it at a higher price? keep repeating it with the DCA until it actually becomes profitable. >2k options on sp500, moons. you execute it,2k options on sp500, it dips and goes below it. just accept it and buy the premium?rinse and repeat until most of it becomes profitable.
>>60982919Yeah I want to do this. Might have to ask mum for more money for another portfolio.
>>60979323>too risk averse to do options and gamble like a real man OR use leverage while trading to try and make big plays>deluded enough to unironically believe doing TA tarot readings on coins like KEK will lead me anywhereGood for you, OP. Maybe if I'm unironically at the verge of bankrupcy one day I'll share my options experience but not now.>>60982919I thought you were fucked if you failed in options?
>>60983205it depends. if you sell call options, in theory you have infinite risk (stock price goes to infinity). if you sell puts, the stock price could drop to $0 so the max you can lose is the difference between the current share price and $0. where you really get fucked is buying options, because they can expire worthless. say you buy calls for a $90 strike (you get to call away someone's shares for $90/per share) but then your calls expire and the price is $88. Well your calls are worthless then, so you paid a premium and got nothing.
>>60983227Yeah I exclusively sell options. I found that its the best balance between risk and reward.
>>60982481>sell a put on 100 shares of company at $500 strike price>make small amount of money>stock crashes to $100>you take a $40,000 loss getting the stock put to you
>>60979323selling options has the risk/reward profile of picking up pennies infront of a steamroller. just get good and buy calls/puts, you'll make 3x-10x.
>>60979323I quit my job recently and moved abroad. I thought about selling options for side income on my shares of AMZN, GOOGL, and AAPL (got 100+ shares of each). I ultimately decided it's not worth my time because of the risk vs reward. These are stocks I want to hold long term so it's not worth it if they get called away from me. On top of that, I'm on the complete opposite time zone of NY.
I buy calls with at least 3 months out expiry preferably much more then sell them for big ass profits whenever the stock gets some nice news.I wouldn't even dream of writing contracts.If I get a position 100% completely wrong I just lose the position. If you write an option and get it 100% completely wrong your whole port gets felted instantly. INSANE risk.
>>60982919Because blindly selling cash secured puts on broad market indices underperforms buy and hold. Stocks only* go up
>>60984206>wait until stock recovers while selling calls at previous strike priceRetard