04-04-2020, 10:10 AM
john,
With options, whether the weekly or longer dated options is better depends on why you are making the option sale or purchase. When I think a stock is overvalued, instead of shorting it, I will buy a long dated put. In this situation, a weekly put wouldn't do me much good unless the stock dropped right after purchasing the option. If you are going after income, then selling weekly options is probably better.
Others in here know a lot more about options than I do and could give you a better explanation. Hope this elementary explanation does you some good.
With options, whether the weekly or longer dated options is better depends on why you are making the option sale or purchase. When I think a stock is overvalued, instead of shorting it, I will buy a long dated put. In this situation, a weekly put wouldn't do me much good unless the stock dropped right after purchasing the option. If you are going after income, then selling weekly options is probably better.
Others in here know a lot more about options than I do and could give you a better explanation. Hope this elementary explanation does you some good.