A Unique Way To Make Money With Options Trading

One of the most best options trading strategies really has nothing to do with making money with options, directly.  This tactic was once only known to professional option traders but it has leaked out into the public domain.

This best options trading strategy enables the investor to purchase stock at a discount.  Let me explain.

Well, believe it or not, you can use options to purchase stock at whatever price you wish.  Now,  there is no guarantee that you will get your price.  However, if you don’t, the options will provide you a nice premium for trying to buy at the price you want.

Let me explain: The way this tactic functions is you write a put at the strike price you want to purchase the stock.  What happens is you, as the put seller, immediately receive the proceeds from the price of the put as profit. After you sell the put, only two things can happen.

1. The price of the stock remains above your chosen strike price

This is a win for the put seller since you get to keep the premium from the put that you sold.  Many option traders earn a very nice income with this strategy.

2. The price of the stock falls to the strike price of the put

This is also a winning situation for the trader.  Remember, you sold the put to buy the stock at the price you want.  If this happens, you will be able to purchase shares at the steep discount. This is that you get paid for waiting for the price that you want to buy the shares.

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