All my trading income is from selling naked puts and CC. Other strategies to incorporate w/ margin?
I know, I know... "Pennies in front of a steamroller." But I find this mindset to be very surface level, as selling naked puts has been one of the most efficient ways for me to generate income and increase the value of my portfolio via compounding effects.
My general strategy for selling naked puts has been to have 20-30 reputable companies on my watch list and sell monthly puts \~25% OTM on any of those stocks that are experiencing higher IV than average (while obviously being mindful of house surplus balance requirements).
I've managed to wiggle out of the Trump tarrif shock, the Iran war, etc etc without any losses while generating pretty consistent income all other months for a few years.
With that said, I do acknowledge I'm taking more risk by relying a bit too much on selling naked puts and understand we're in a bull market. What other option strategies should I consider that would work better for times when the market as trading sideways or a prolong bear market, while using margin? My cash balances on my taxable accounts are always negligible (or zero).
My taxable account balance is about 200k at the moment and I'm generating about $2200 / month through my trades.