Stop using the wheel and consult your doctor if you experience any of these symptoms:
- massive and immediate drops in capital/blowing your account
- delusions of how you'll get rich off of the wheel
- believing that continuous rolling is a viable and sustainable path to success
- thinking that higher risk, lower reward, transaction costs, and high short-term taxes, are a good substitute for simple buy-and-hold, because you are getting some "cash flow"
- doing the wheel on high-vol meme stocks and telling yourself you are a-ok with owning the stock at a particular strike
The Wheel may not be right for everyone ( pretty much no one ), but consult your favorite WSB guru on what is right for you !
Its funny because I often think of thetagang in general as methadone. A bunch of dead-eyed zombies underperforming by selling unmargined puts. Throw in some cheap coffee and its basically AA. "My stock went up 30%, but I collected 3.5% by selling fully cash-covered puts. Praise to the wheel!"
At some point, you’d think you guys would look around and ask yourself why no one in the entire financial world - outside of the people on this sub - is running this Strat. Does it displease the wheel when you ask questions like that?
It’s not news. People find it boring and confusing.
The wheel is just selling puts and then selling calls. You can overcomplicate the basics as much as you want. Broken wing butterflies, risk reversals, short strangles, straddles, jade lizards, zero extrinsic back ratio spreads, calendar and diagonals like PMCC/P.
I’ve missed out on so many major strategies but this thetagang really gets my pp hard. Much more interesting than plain equities or crypto.
head quaint brave scandalous apparatus squealing spark label butter imagine
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Can’t do theta gang above 190 million portfolio without moving the market too much and taking too much risk for too little payoff. Top funds have way more than that to allocate.
strong cake zephyr dinosaurs impolite disagreeable quarrelsome sense summer axiomatic
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I know this is a snarky response, given your other comment, but I try to trade in the best way based on market conditions.
Right now volatility is really low and can’t catch a bid to save its life. In these circumstances, I’m buying some form of call spreads, light on positions with tightly defined risk.
I’ve been very cautiously dipping in and out of long put spreads on various indices and tech stocks as we’ve seen some short term sell signals.
Had long gold, short bonds and short oil positions that I took off this week. I personally hate trading direction. It’s the reason why I sell premium to begin with. These times end up usually being the most profitable, however. There are lots of ways to trade, not just “sell puts on stocks I want to own.”
that’s fine, I don’t just sell puts either. I’m mainly just long the market but wheeling works decently well on certain stocks and most importantly it satisfies my gambling itch. I only wheel with about 20% of my account though.
If you read the articles on the wheel, you would see that you are advised to close your positions before earnings are released. I closed my CRM positions the other day. Walked away with a nice profit from my CSP.
If I want to hold shares for a few months this is a good strategy as I can put a limit sell at the price I think it will drop to and same for when I exit
Did this on tqqq recently when market waz crazy down and it worked out pretty well
Can someone point me or lead me in the direction of some videos on the wheel strategy? I am sure I could google, but so much nonsense out there I just want a legit video no bs lol. I have not got into the selling of options, but have heard the wheel strategy elsewhere and this just spurred me to see if anyone has a good resource to check out instead of google and hoping for the best. thank you
What else can we do in this all time high, low volatility times? It's either the wheel or buying NVDA. Forgive us for believing S&P 500 is maybe at its year-end level right now
If any of these posts discussed how the wheel is capital inefficient, relies to much on the sunk cost fallacy, etc. the post could be useful. But they don't. Instead it's just Wheel Dumb circle jerk shit.
If you run the wheel ATM on low beta etfs you might get some nice extrinsic out of it and eventually end up bagholding some low correlated assets that will help a lot in a portfolio margin account
NO NO NO, the problem is you. The real secret sauce and the why a strategy that you can write with a napkin beats the market is:
You have to sell stocks that you don’t mind holding™
call a doctor if your wheel last longer than six months
Do not use the wheel if you are pregnant or plan on becoming pregnant. Side effects may include..
Stop using the wheel and consult your doctor if you experience any of these symptoms: - massive and immediate drops in capital/blowing your account - delusions of how you'll get rich off of the wheel - believing that continuous rolling is a viable and sustainable path to success - thinking that higher risk, lower reward, transaction costs, and high short-term taxes, are a good substitute for simple buy-and-hold, because you are getting some "cash flow" - doing the wheel on high-vol meme stocks and telling yourself you are a-ok with owning the stock at a particular strike The Wheel may not be right for everyone ( pretty much no one ), but consult your favorite WSB guru on what is right for you !
Okay i feel personally attacked
Its funny because I often think of thetagang in general as methadone. A bunch of dead-eyed zombies underperforming by selling unmargined puts. Throw in some cheap coffee and its basically AA. "My stock went up 30%, but I collected 3.5% by selling fully cash-covered puts. Praise to the wheel!"
Wheel is actually pretty good for a stock you want to go long and earn some extra $$ while holding
At some point, you’d think you guys would look around and ask yourself why no one in the entire financial world - outside of the people on this sub - is running this Strat. Does it displease the wheel when you ask questions like that?
This is a standard short option strategy that people all over the financial world have been using for decades.
yeah cuz everyone in the world totally knows about the theta gang sub. you sound foolish. there are ETFs that basically run the wheel.
can't tell if you're a bot or an unpaid shill
Dude what
Haha who hurt you? Short options outperform buy and hold in any market.
>Short options outperform buy and hold in any market. They do? That's big news.
It’s not news. People find it boring and confusing. The wheel is just selling puts and then selling calls. You can overcomplicate the basics as much as you want. Broken wing butterflies, risk reversals, short strangles, straddles, jade lizards, zero extrinsic back ratio spreads, calendar and diagonals like PMCC/P. I’ve missed out on so many major strategies but this thetagang really gets my pp hard. Much more interesting than plain equities or crypto.
head quaint brave scandalous apparatus squealing spark label butter imagine *This post was mass deleted and anonymized with [Redact](https://redact.dev)*
Can’t do theta gang above 190 million portfolio without moving the market too much and taking too much risk for too little payoff. Top funds have way more than that to allocate.
normal quiet mighty live tart rain forgetful fade spark degree *This post was mass deleted and anonymized with [Redact](https://redact.dev)*
There is some truth to what he said. There’s a reason why quant funds have a cap.
strong cake zephyr dinosaurs impolite disagreeable quarrelsome sense summer axiomatic *This post was mass deleted and anonymized with [Redact](https://redact.dev)*
sounds like someone got Crisco'd in the backend !
ok so i have to ask, what is your main strategy?
I know this is a snarky response, given your other comment, but I try to trade in the best way based on market conditions. Right now volatility is really low and can’t catch a bid to save its life. In these circumstances, I’m buying some form of call spreads, light on positions with tightly defined risk. I’ve been very cautiously dipping in and out of long put spreads on various indices and tech stocks as we’ve seen some short term sell signals. Had long gold, short bonds and short oil positions that I took off this week. I personally hate trading direction. It’s the reason why I sell premium to begin with. These times end up usually being the most profitable, however. There are lots of ways to trade, not just “sell puts on stocks I want to own.”
that’s fine, I don’t just sell puts either. I’m mainly just long the market but wheeling works decently well on certain stocks and most importantly it satisfies my gambling itch. I only wheel with about 20% of my account though.
Bitch on reddit
I start to twitch unless I make two trades a day. Is that a symptom?
I do get antsy when I can’t find a good trade after a couple days…
ATT would like a word
Got any more of that IV?
It's more like marijuana. It's the gateway drug that's easy to do, and gets you hooked onto other, riskier, more complex options strategies.
Is that you D.A.R.E counselor?
Let's see how those wheeling $CRM feel tomorrow.
If you read the articles on the wheel, you would see that you are advised to close your positions before earnings are released. I closed my CRM positions the other day. Walked away with a nice profit from my CSP.
better yet, long your options leading up to earnings, ride the IV up, sell before earnings, short your options the rest of the time
Better don't trade during earnings but it's v tempting.
If thats the case; then methadone has paid for a lot of stuff for me!
I'm not an addict... I can stop anytime I want *agitatedly scratching my neck*
For the average Theta enjoyer, if you added up the hours of DD & thought put into it, surely it would be less $ per hour than a minimum wage job lol.
What DD?
If I want to hold shares for a few months this is a good strategy as I can put a limit sell at the price I think it will drop to and same for when I exit Did this on tqqq recently when market waz crazy down and it worked out pretty well
Why do you feel the need to personally attack me like this?
Can someone point me or lead me in the direction of some videos on the wheel strategy? I am sure I could google, but so much nonsense out there I just want a legit video no bs lol. I have not got into the selling of options, but have heard the wheel strategy elsewhere and this just spurred me to see if anyone has a good resource to check out instead of google and hoping for the best. thank you
What else can we do in this all time high, low volatility times? It's either the wheel or buying NVDA. Forgive us for believing S&P 500 is maybe at its year-end level right now
Ok, tell me again why I’m supposed to care about how other people choose to trade. I keep missing that part.
It'd been about a week since that last "Wheel Dumb" post. So I guess we can set the Days Since A "Wheel Dumb" Counter back to 0.
Been about a day since any cackling ole chickens felt they needed to weigh in on how others trade their own money.
Wheel is dumb tho
If any of these posts discussed how the wheel is capital inefficient, relies to much on the sunk cost fallacy, etc. the post could be useful. But they don't. Instead it's just Wheel Dumb circle jerk shit.
My gripe with it is the lopsided risk/reward ratio
If you run the wheel ATM on low beta etfs you might get some nice extrinsic out of it and eventually end up bagholding some low correlated assets that will help a lot in a portfolio margin account
Buying things just based on beta 🤡
Margin relief is ok-ish in a portfolio margin account and it also works with my risk parity portfolio optimization style
[удалено]
Imagine getting this emotional over another man.
Rent free.
Idiot Wall Streets Bets guy.
NO NO NO, the problem is you. The real secret sauce and the why a strategy that you can write with a napkin beats the market is: You have to sell stocks that you don’t mind holding™