I Stopped Predicting The Market. Now I Make $5-10K/Month

[00:00:00]I stopped trying to predict the markets and now I make 5 to 10k per month by selling options. When I was 14 years old, I watched the movie Limitless and I wanted to be a trader. That was my first dream, my first entrepreneurial venture, and I ended up failing for years. I started trying to do Forex, that went nowhere. I really invested a lot of time, years, into trying to learn how to trade futures with the Day Trading Academy. That didn't end up going anywhere. I tried this thing called the news trade. I actually did make some money with that one, but I ended up losing it all cuz there was this system that I paid to learn and it's this whole thing where you get entries on both sides, so you can win no matter which way it went, but something ended up going wrong. It whipsawed. I ended up losing all my money cuz it blew past my stop. So, all the money I'd been making for months just got wiped out. So, that I had to stop. So, it was a very long journey of just constantly failing all these different things. And even after learning how to sell options, there's been times in the past years when I've taken some of the money I've made and I've tried to go for a big swing. And every single time it has failed. So, I have not made any sort of significant money or any sort of consistency from trading besides selling options. This is coming from someone who has genuinely tried it all. So, selling options is what has finally allowed me to make consistent income, taking the money that I've made from my other entrepreneurial ventures, and now start to grow it to the point where I'm able to live off of the money I make from selling options.

[00:01:27]So, I'm going to be telling you exactly how I do that in this video cuz you can sell options and still break even or lose. I speak to a lot of people through this channel that I've created and I've been working on for the last couple months about teaching this, and there's a lot of people out there who lose money selling options. So, the strategy that I have created and that has been really successful for me, making me consistent income month after month. I'm constantly winning trades. Sometimes they go against me, but I'm able to manage them due to the way that the trade is structured and how everything's set up from the beginning. So, I'm going to be giving you the three keys to making this strategy work. This is a high probability rules-based trading plan.

[00:02:09]This is not gambling. This is not anything like that. It's honestly very boring because it's just a set of criteria. There's no excitement. It's just managing it. It's just taking it based on the criteria and then managing it. This is something a complete beginner could do after following this video. And I made every single one of you a selling options trading blueprint giving you the entire strategy in full and that's completely for free. It's the first thing in the description below.

[00:02:34]You can grab that now. So, the first thing I want to dive into is what is selling options? For those of you who do not know what it means to sell options, let's just put it very simply.

[00:02:45]Basically, you can collect a premium for being someone else's insurance to take their stock at a certain price. For selling puts, let's say, you sell a put at 170.

[00:02:59]The stock is trading at 200. Someone else on the other side of that is saying that if the stock goes to 170, they don't want it anymore. They want to take their risk off the table. And that's where you come in and you get a premium, a credit.

[00:03:14]You get it up front to us to hold that risk that if it goes below 170, you have to get assigned those shares. You have to take his shares from him even if it's trading lower than 170. So, he's safe at 170 and that's why you get a credit. And you are taking the risk. And this is just one way of thinking of it. There's a bunch of different analogies that people use, but that is how I'm primarily trading focusing on selling puts. So, this is the thing though. Most of these options strikes and and contracts expire worthless. But, the thing is it's not 100% true. So, you have to set your trades up the right way, and that's really what I've sort of not mastered, but gotten really good at and really kind of honed in on over the last couple months cuz I've been trading selling options. I learned this at 18. And I've been doing it since, but I went all in in 2026, and I really have been kind of over the years crafting and refining my strategy to the point where I felt extremely comfortable going all in with this in 2026, and it's been going extremely well with this strategy. And really leveraging these sort of things, but doing it the right way because you're going to understand well after watching this video why not all the options expire worthless, even though it's selling options and everyone thinks it's super safe.

[00:04:39]So, the thing is that is that's key, right?

[00:04:42]Is setting it up the right way, and that's what we're going to go into right now with these three keys. So, what's the first one? High probability. This is so important. People sell options like I did when I was 18. I did the the wheel strategy on cheap stocks cuz I only had like 20, 30,000 from pizza delivery, being in high school, doing that, and a couple other things. And I was doing that cheap wheel strategy, not really making too much, and always experiencing drawdowns after getting assigned the stock, things like that.

[00:05:11]I'm going to tell you how to avoid that in a bit as well. But I was basically just selling near the money put starting there. So, maybe Delta 35, 40, something like that cuz the premium was so little I could do only do so many contracts, things like that. It always It wasn't a good strategy at all.

[00:05:28]I don't recommend the wheel strategy, and I don't recommend it on cheap stocks for sure.

[00:05:33]So, basically, now I go with an 85 to 90% win ratio.

[00:05:40]So, the up before when I was doing that cheap wheel strategy, we're talking maybe like 60%. That's not that good.

[00:05:47]That's where people get screwed selling options thinking that just because they're selling options it's safe when in reality it's not that safe. So, the way to get the 85 to 90% win ratio is by selling Delta 10 to 15 puts. So, Delta has a couple definitions. One of them for our purposes we're using it to measure probability. So, when you go with Delta 10 strikes you are going so far down it's so safe. Now you truly become the casino in this casino gambler analogy. When you're at 60% win ratio, not really, you know, you're not actually acting as the casino. You're still acting as somewhat of a gambler chasing premium and experiencing some of the negative effects that can come with selling options because there are some.

[00:06:35]But if you set up the trade and structure it the right way from the start, you will avoid most of those problems. And that is what I've done here with this strategy. So, I'm getting smaller credits.

[00:06:46]Still significant though. Like it adds up to 5 to 10k, but it's so much safer and that is where I'm leaning into is that safety. I want to play it safe. I don't want to deal with the negatives and constantly have to manage trades, deal with losing trades, roll them. All this is not worth it and it's only going to end up taking away from your total income, confusing you, making things complicated. I like to play things safe. I like to keep things simple. This is how I've done things in all my businesses and this is how I've really I've brought that into this trading strategy and this is what's causing that sort of success. So, step and key number one is high probability strikes. Now, what expiration dates? Because there's people who do these, you know, Delta 10 to 15 strikes on zero DTE who are losing money. I talked to this one guy. He has lost over 40k doing these safe strikes on zero DTE. So, it's very important what expirations you choose.

[00:07:45]And that leads me to telling you it is 30 to 45 days. That is the proven best time frame for option sellers. It gives you enough premium where you can go far enough down and out to be very safe.

[00:07:59]Sometimes, obviously depending on the company, the implied volatility, you know, all these things, it can be anywhere from 20 to like 60 70 dollars down that the stock has to move giving you a huge margin of of uh or just a a cushion, right? Margin of error that can go wrong allowing you to still make money because you make full profit on the day of expiration as long as the price is above your strike. And honestly, you know, not to complicate things, but it's even a little bit below because of the credit you receive and all that. So, the stock just has to manage to stay above that. For some companies like I did one on Hood, it was 20 dollars that it I think it was trading around 70 80.

[00:08:41]That's a lot. 20 dollars for a 70 80 dollar stock is a big move. Something like Tesla I've done, you know, that's 60 70 dollars of a move it has to go down. These are big moves that that has to make in order for it to become a losing trade now. This is truly how you set yourself up to be the casino and constantly win, constantly collect those credits and those premiums and generate money month after month. So, if you go with too short of a time frame, the issue is going to be that you know, you're not going to be able to give yourself that huge cushion, that huge margin of error where things do happen and you're not setting yourself up for that level of success.

[00:09:20]So, the last thing that's really important is selling puts and avoiding assignment. So, you want to focus on put selling because the issue with the wheel strategy, and I learned this the hard way many times, is that when you get assigned, you're in the stock now. There's nothing you can do when the stock drops besides sell it to to get that capital back. If you can't sell calls and make money and be profitable and be at a level where it makes sense to sell a call cuz it's going to have to be at least around or above the price that you got assigned at. If you can't collect premium there, then this is really not doing much for you and now you're just sitting on dead capital. So, you really want to avoid assignment. There's the occasional time where I'll do a covered call, sure. But, for the most part, you really want to focus on just collecting those credits from selling puts and closing those credits out for anywhere from 50 to 90%.

[00:10:18]I have different rules based off of, you know, how far into the trade it is, whether it's a week, 2 to 3 weeks, the last, you know, 4 or 5 weeks. I It's It's all different based on those time frames. I have my my entire rules uh outlined. But, you really just want to focus on getting that credit and and taking the money and running, and that's it. You don't want to worry about assignment. You don't want to be stuck in trades. You don't want to get assigned because this is where things can start to get complicated. You can experience these drawdowns, and it really is just more of a headache than it is, you know, an income-generating system at that point. So, you can manage these trades in different ways to avoid assignment. You can simply roll them. Uh one thing I do, whether it is a credit spread or starting as a cash-secured put is you can always roll it to a cash-secured put leap, depending on which one you start with. It's the same.

[00:11:06]You just If it's a credit spread, you close out the long put for a profit. You roll that short put to a cash-secured put leap. That's one that I do. This gives you a lot of time for the stock to recover. I'm only trading high-quality companies, and so I believe that they're going to do well in the future. And this gives the stock time to recover, whilst it only uses up a little bit of my margin buying power. And I'll give you an example with this uh so, when I was in Netflix it went all the way down to my strike even with a Delta 10. So this is where you really want to make sure you're playing [snorts] it safe cuz it can come down.

[00:11:41]You never know what can happen, right?

[00:11:43]So it came down all the way to my strike and actually a little below. I ended up closing it out for 50%. It was like just under $500 profit on the day of expiration, but I just checked like it was like if this really you know if I had to roll it to a cash secured put leap what would it be in terms of the margin and it was only like $6,000 to roll it down to like a 60 strike I believe it was. It was only $6,000 on 10 contracts. It's a lot of contracts.

[00:12:09]So instead of getting assigned at $88,000 I now just could have leveraged that $6,000 margin given Netflix time to recover and continue to trade my strategy. So that's what I talk about in terms of avoiding assignment. You really don't want to be getting assigned too much unless it's some company that you really believe in. Of course you can throw in the occasional covered call, but I wouldn't do an all covered call based strategy is the point I'm trying to make. So once again, this is exactly how I'm generating 5 to 10k per month.

[00:12:39]If you want my selling options trading blueprint, that's going to be completely for free. It's the first thing in the description below.