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for the record of this conversation i use Puts and Calls in the one to two month range. i sell options only. the calls are because every now and then i end up owning the stocks. I used to follow the advice of an investment group called Palm Beach letters. In truth i have to give them the credit for teaching me the system but they were well paid to do so. I no longer use them but only invest in stocks of companies that I am accumulating for a long term (for ever) dividend portfolio. So if i hit the strike price, i end up buying something that I wanted anyway and was paid to get in at a cheaper price than i expected. I turn around usually and offer calls at the same price and collect the dividends while i wait. This has been by far the best strategy for me.

I will use weeklies where they exist and have even used minis. I just try to avoid selling options within 2 weeks of earnings announcements.

I posted an update of my portfolio. Let's continue the discussion there and see if we can get a few others to join us.

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