|SPDR Dow Jones Industrial Average ETF||(DIA)||99||$150||97.50|
|SPDR S&P 500 ETF||(SPY)||106||$190||104.10|
|PowerShares QQQ Trust, ETF||(QQQQ)||43||$73||42.27|
|United States Oil Fund LP ETF||(USO)||35||$76||34.24|
|SPDR S&P Metals and Mining ETF||(XME)||49||$135||47.65|
|American Express Company||(AXP)||37||$67||36.33|
|Bank of America Corporation||(BAC)||15||$40||14.60|
|Ford Motor Company||(F)||11||$34||10.66|
|General Electric Company||(GE)||15||$21||14.79|
The ideas outlined above are bullish strategies and should not be considered if you think the stock will sell off in the near future. However if you feel the stock could move higher or slightly lower in the near future, this strategy could yield a nice gain. Selling puts "naked" is a very risky strategy and should not be considered with stocks one does not plan or want to hold long in their portfolio. To get a better understanding of stock options and different option strategies please check out my Simplified Stock Option Trading E-Books.
These are just examples and are not recommendations to buy or sell any security; if you're more bullish/bearish, you’ll want to adjust the strike price and expiration accordingly.
The reason option volumes have surged in the last five years is because they are a great way to hedge your portfolio as well as create income off of your shares (see chart here). Keep in mind when using this strategy it is essential that broker commissions are low enough to profit from the position.
Disclosure: Short May AAPL 220 Put Options, AXP 38 Put Options, BAC 16 Put Options, F 12 & 13 Put Options, GLW 16 & 18 Put Options, GOOG 450 & 510 Put Options, QCOM 36 & 38 Put Options, V 75 Put Options, XME 50 Put Options