Bullish Options Strategies
In this module, we'll show you how to create specific strategies that profit from up trending markets, including low IV strategies like calendars, diagonals, covered calls, and directional debit spreads.
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Custom Naked Put

The custom naked put is a bullish options strategy that combines two strategies, which provides some downside protection if the stock moves lower. Think of the strategy as entering an iron condor without the long put.
Custom Naked Put
Kirk Du Plessis
Apr 19, 2021

What we call a "custom naked put" also carries many other names. This strategy is one we like to use when we are fairly bullish on a stock but also might see some downside risk of the stock possibly heading lower short term. Because our goal is to always create a high probability trade, we use the combination of 2 different strategies to increase our chances of success. First, we'll sell an OTM call credit spread and might take in a credit of say $0.50 on the sale. We'll then look to match that credit by also selling a naked put below the market for about the same credit. This will double our credit in the trade and help move the break-even point on the strategy much lower (thus increasing our probability of success). Hint: you can also think of this as entering an iron condor without the put side protection.

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Covered Call
A covered call is an options strategy with undefined risk and limited profit potential that combines a long stock position with a short call option. Covered calls are used to generate income if an investor is moderately bullish and plans to hold shares of stock in an asset for an extended length of time.

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Custom Naked Put

The custom naked put is a bullish options strategy that combines two strategies, which provides some downside protection if the stock moves lower. Think of the strategy as entering an iron condor without the long put.
Custom Naked Put
Kirk Du Plessis
Apr 19, 2021

What we call a "custom naked put" also carries many other names. This strategy is one we like to use when we are fairly bullish on a stock but also might see some downside risk of the stock possibly heading lower short term. Because our goal is to always create a high probability trade, we use the combination of 2 different strategies to increase our chances of success. First, we'll sell an OTM call credit spread and might take in a credit of say $0.50 on the sale. We'll then look to match that credit by also selling a naked put below the market for about the same credit. This will double our credit in the trade and help move the break-even point on the strategy much lower (thus increasing our probability of success). Hint: you can also think of this as entering an iron condor without the put side protection.

No tags found.
Next lesson
Covered Call
A covered call is an options strategy with undefined risk and limited profit potential that combines a long stock position with a short call option. Covered calls are used to generate income if an investor is moderately bullish and plans to hold shares of stock in an asset for an extended length of time.
Bullish Options Strategies
In this module, we'll show you how to create specific strategies that profit from up trending markets, including low IV strategies like calendars, diagonals, covered calls, and directional debit spreads.
Lesson
9
of
12
Next Lesson
Lessons
Exit Course