Selling weekly deep OTM cash-secured put options using Apple (AAPL) to generate cash flow.
Using strikes with Deltas of ~10, approximating less than a 10% of ending in-the-money. The goal is to generate 0.2 - 0.4% 5-day returns, 9% – 19% annualized.
We are prepared to take action anytime a trade turns against us by utilizing several strategies, e.g. rolling the puts, taking assignment and writing covered calls, using reserve capital to purchase long-term ITM puts as a hedge.
We are not a registered investment advisor. All investments involve risk, individual's trading does not guarantee future results or returns. Investors are fully responsible for any investment decisions they make. References to specific securities should not be construed as a recommendation to buy or sell that security only mentioned for informational purposes.