10 Comments

I am buying calls for now, from what I understand I need more capital for credit spreads.

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Nah. from the videos I've seen on selling naked Puts you gotta have bigtime dough in case those Puts got assigned and you gotta shell out $150,000 for some stocks you really didn't want to own in the first place.

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I am selling puts!

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Nice.

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I’m gel

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How far out of the money do you typically set up the credit spreads?? Using a delta value? A percentage?

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Thanks bro. Appreciate that. Read “not so random” thanks for the content

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Am I missing something,because credit spread for me is cheaper way cheaper than puts

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It's less than a 100% cash backed put. I don't how much margin is needed though is you're selling them naked. If it's a credit spread (bull put spread in this case), I think the margin required is the difference between the 2 strike prices eg. sell a Spy put at 410 then buy a Spy put at 400 = around 1000 margin ((410-400) X100)).

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Great because the time put into learning this needs to be shortened

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