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Selling Options for Consistent Income

ANYONE can and should learn how to sell options for consistent income on the side or full-time!
Instructor:
Dan D. Dao, MBA, CMT
77 students enrolled
English [Auto]
Understand the concept of options
Understand the purpose of calls and puts
Recognize how options can be used to generate income
Demonstrate ability to sell puts for income
Demonstrate ability to sell covered calls for income
Demonstrate ability to manage trade positions
Develop an options selling trading plan

Are you tired of working a 9-to-5 job? Do you want to generate income on your own terms? If so, then selling options is the perfect solution for you.

Options are a type of derivative that gives the buyer the right, but not the obligation, to buy or sell an underlying asset at a specified price on or before a specified date. When you sell options, you are essentially selling the right to someone else to buy or sell an asset from you. This can be a great way to generate income, because you are paid a premium for selling the option.

Here are just a few of the benefits of selling options:

  • It’s a low-risk way to generate income. The risk of selling options is limited to the premium you receive. If the option expires worthless, you keep the premium and you don’t lose any money.
  • It’s a passive income stream. Once you sell an option, you don’t have to do anything else. The option will either expire worthless, or it will be exercised, in which case you will sell the underlying asset at the specified price.
  • It’s a scalable income stream. You can sell as many options as you want, so you can generate as much income as you want.

And unbeknownst to most retail investors, selling options can be a high probability trade–meaning there’s a high chance of success. That’s why selling options is a good income-generating strategy–you can structure it to have a high probability of success, and thus a consistent income stream.

If you’re interested in learning more about how to sell options for income, then I encourage you to check out my course. In this course, I will teach you everything you need to know about selling options, including:

  • The basics of options
  • How to select the right options to sell
  • How to manage your risk
  • How to set up your trading plan

By the end of this course, you will have the knowledge and skills you need to start selling options and generating income on your own terms.

Why am I sharing this knowledge? Selling options has been a liberating and consistent income-generating stream for me. I have been honing this skill since 2018. And just like you, I first thought that options were complicated and risky. While not totally without risk, the risk in options trading can be managed. And once you become consistent with it, with a system in place, it is quite easy to manage with only a few hours a week of involvement.

I am passionate about sharing this with others and have painstakingly worked on this course to make it as easy to comprehend as possible and accessible to everyone, regardless of background.

So what are you waiting for? Sign up for my course today and start generating income from options!

Understand the concept of options, calls and puts

1
What is an option
2
Components of an option
3
What is a stock option?
4
Stock price, Strike price, Premium price
5
Option Premium
6
Option expiration dates
7
Call option
8
Put option
9
Bullish or Bearish
10
What impacts the option premium price
11
Option greeks
12
Theta/Time Decay
13
Must Know Terms: Long and Short
14
Options Directions
15
Must Know Terms: Intrinsic and Extrinsic Value
16
Must Know Terms: Moneyness #1
17
Must Know Terms: Moneyness #2
18
Option Profit/Loss Charts
19
Option Profit/Loss Charts - Long Shares
20
Option Profit/Loss Charts - Long Call
21
Option Profit/Loss Charts - Long put
22
Option Profit/Loss Charts - Sellers Perspective
23
Option Profit/Loss Charts - Another Perspective
24
Profit diagrams
25
Resources

Recognize how options can be used to generate income

1
Why Sell Options for Income
2
The Case for Selling Options for Income
3
Return Potential
4
Reasons Why Selling Options is Not for You
5
How Much Capital Do You Need?
6
How Much Capital Do You Need? Examples
7
Is Selling Options for You? Are you onboard?
8
Why do you want to sell options for income?

Demonstrate ability to sell (and manage) puts and covered calls for income

1
Brokerages
2
Option Chain
3
Placing the Trade
4
Strategies
5
Covered Call #1
6
Covered Call #2
7
Cash-secured Puts #1
8
Cash-secured Puts #2
9
Strategies Key Points

Options Selling Process & Plan

1
Finding the Stock Part 1
2
Finding the Stock Part 2
3
Screening Tools
4
Entry Criteria - Delta
5
Entry Criteria - Date to Expiration
6
Entry Criteria - ROI
7
Managing the Position - Exits
8
Managing the Position - Rolling
9
Managing the Position - Considerations
10
Managing the Position - Wheel Strategy
11
Delta
12
Theta Decay
13
Implied Volatility

Trading Plan

1
Importance of Developing a Plan & Sticking to It
2
Importance of Developing a Plan & Sticking to It - Losing Trades
3
Importance of Developing a Plan & Sticking to It - Competitive Edge
4
Trading Plan Elements - Goals/Objectives
5
Trading Plan Elements - Selection Criteria
6
Trading Plan Elements - Entry
7
Trading Plan Elements - Exit
8
Trading Plan Elements - Journal
9
Trading Plan Elements - Journal Examples
10
Trading Plan: CSP (Non-Technical Analysis)
11
Seeing CSP (Non-Technical Analysis) Trading Plan on the Charts
12
Trading Plan: CSP (with Technical Analysis)
13
Seeing CSP/CC (with Technical Analysis) Trading Plan on the Charts
14
Trading Plan: Covered Call (Non-Technical Analysis)
15
Trading Plan: Covered Call (with Technical Analysis)
16
Exiting

Putting it All Together

1
The Point of Selling Options
2
Two Simple Strategies
3
Trading System/Plan
4
Managing Bad Positions
5
Final Considerations
6
Paper Trading
7
Position Sizing
8
Outro

Bonus Content

1
Real Trade on 8/2/23. Collected $3,630 for selling puts on RBLX
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