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If you have enough to buy the stock you can write naked puts instead and generate pretty ridiculous premiums. I do like the covered calls on owning MSTR you’re using as you capture the upside on stock price. Close to the money puts are producing 4-5% for 7-9 day contracts. Or 30 day expiries 1 standard deviation below (so 70% chance roughly stock doesn’t get assigned you could go 2 SD to make it 97% chance it doesn’t and it still pays nicely) is making 8%…pretty insane. It’s all just fiat mining on derivative volatility but it’s underlined by a levered play on the worlds best performing asset, so what the hell right?!
Thanks Cam, yes indeed - this would be a part of the Wheel Strategy I will try: sell a covered call, if the strike hits and I'm assigned to sell my contract, I will immediately sell a put below the current strike, collect the premium and wait to be assigned if/when my contract closes ITM....rinse, repeat. I need to fine-tune the optimal expiry & deltas for both calls & puts. Thanks again.