Reply to @NBORT : Theres no generic answer one la.
Its not a "yes, its gd. pls proceed." or "no no! dont!" kinda thing.
If u wanna own the shares n think that u can sell puts to lower your entry... u might have the risk that u dont get it and it shoots up.
Which is why if i get a strong conviction, i just buy the equity or even buy the calls.
If u dont really wsnt the shares but just want to get the premiums, u might get a shock if it tanks suddenly.
cos youd get to roll over several times, n u will end up increasing your exposure... until u get hit once.
I think many folks here view of their investment actions as whether its profitable or not i.e. make money = a gd decision and vice versa.
I think of it differently
I compare against the S&P.
So if u just want to turn a profit, u can prob go sell those very far OTM options, like the very last in the option chain, n itd prob not get exercised.
But the premiums would b so low... that I think u wont beat SPY.
So thats not acceptable to me.
But if u just want to see some money.. sure.
I think Impossible will do better than Beyond, too bad it's not listed.
https://www.forbes.com/sites/laurajames/20...
Reply to @Pizzaprata : not sure if they would do better but 1 thing is for sure...
theres more and more competition coming on in this sector.
Biang.
Everywhere I go, the whole world is against me...
as long more ex then the real thing, I wont try
Reply to @NBORT : Theres no generic answer one la.
Its not a "yes, its gd. pls proceed." or "no no! dont!" kinda thing.
If u wanna own the shares n think that u can sell puts to lower your entry... u might have the risk that u dont get it and it shoots up.
Which is why if i get a strong conviction, i just buy the equity or even buy the calls.
If u dont really wsnt the shares but just want to get the premiums, u might get a shock if it tanks suddenly.
cos youd get to roll over several times, n u will end up increasing your exposure... until u get hit once.
I think many folks here view of their investment actions as whether its profitable or not i.e. make money = a gd decision and vice versa.
I think of it differently
I compare against the S&P.
So if u just want to turn a profit, u can prob go sell those very far OTM options, like the very last in the option chain, n itd prob not get exercised.
But the premiums would b so low... that I think u wont beat SPY.
So thats not acceptable to me.
But if u just want to see some money.. sure.