Three day weekly option trades are wonderful.
Who doesn’t like to collect extra cash every Friday?
We do that in my Options Income Blueprint service where we like to sell weekly put options … usually on Wednesday around 11:00 AM that expire in 2 days on Friday.
We made that trade last week with Western Digital ( ), the hard disk drive and flash memory company, who’s stock has been in-and-out of the news lately generating more volatility in the stock and giving us nice premiums in the options.
On Wednesday, we sold the WDC 84.50 Put for $0.54 or $54 per contract for that Friday expiration.
We didn’t stop there.
Get my proven strategy you can use to turn every Friday into an extra "Payday" using Weekly Options.
The next day, we traded hot “chip maker” Micron Technology ( )… this time selling the MU 39.50 put for the following Friday … 7 days out and collecting $0.55 or $55 per contract.
Both stocks moved up in late week trading and we took profits!
We let our WDC 84.50 put contract expire worthless and we closed our MU 39.50 one day later and one week ahead of expiration by buying it back for $0.20 or $20.
Trading our usual 3 contracts our total profits for two and half days of trading tallied $270 in cash from two simple weekly paycheck trades.
We’ll keep them coming. Join us here for next week’s Friday pay-days.
About The Author
Michael Shulman is a 30 Year Veteran of the financial markets – as a trader, a financial analyst, a financial writer and most recently as an educator.
Mr. Shulman made his first option trade in 1985 – COMPAQ Computer calls – a position that expired worthless. His second trade broke even; the third brought him a year’s salary, a near twenty to one return on his investment. He has never looked back. He entered the financial publishing business formally in 2001 as director of research for ChangeWave Research’s institutional research business and as the writer and editor of Hedge Fund Investing.
He has published two books – Sell Short and Made in America – both of which can be found on Amazon.com, and he is a frequent contributor to reputable financial sites like Seeking Alpha, MSN, MainStreetInvestor, and Traders Reserve.
Most importantly, since 2010, he has dedicated himself to teaching income investors how to get more income from their portfolios using simple yet safe options selling strategies which produce income every week. This approach was developed from the ground up in Mr. Shulman’s own accounts, his goal to develop a strategy that cannot be replicated by institutional investors of any size and therefore independent of fads and trends that change too often to provide a consistent approach for individual traders.
His trade recommendations in his Options Income Blueprint, Perpetual Income Portfolio Club and Income Masters services maintain a 98% success ratio, meaning his trades produce the expected income 98% of the time. No one’s perfect.