29/10/2024
Today is Tuesday, TQQQ trades weekly Options so we will skip this week experation date and move to next Friday Nov 8.
TQQQ is currently trading at $74.92 which means in order to do a Put Option Trade you will have to have enough money in your account to buy 100 shares for the contract, if you have margins added to your account and you have at least the $7400 in stocks, your margins will match whats in your account to give you credit for the put.
I prefer selling to open Cash Secure Puts (CSP) versus buy to open, because I don't like to spend money this all about making money with me.
So here it is:
TQQQ $67 Put 11/08/24 Prem $133 Delta .20
Now what this means is you need to $6700 in available funds to purchase 100 shares of this stock if the contract is exercised, you will collect the $133 today but the contract expires on the 8, unless you buy to close which means you have to give some of $133 based on time,
If you have enough captital to do more of these contracts, you multiply that premium by that number. I use a delta of .20 as a safety precaution because my goal is to earn thst premium and not buy the stock.
I am presently doing 16 of these contracts in groups of 4, spread out over 4 weeks (one month ahead), by doing so my premiums are much larger due to to the time of termination.
My goal is to earn $1000 a week so I will roll out my contracts each week, 4 weeks out to keep one expiring every week for a month.
