Covered Put Options Strategy (Guide + Examples)

⚡ Free options strategy calculators & visualizers: https://projectoption.com/calculators ☑ Free 160+ page Options Trading for Beginners PDF and bonus content: https://projectoption.com/free-guide The covered put strategy consists of selling a put option against a short stock position of 100 shares. Compared to shorting stock, a covered put has less loss potential, but limited profit potential. In this video, you'll learn: 1. What are the characteristics of the covered put strategy? 2. What does the expiration risk graph look like for a covered put? Also, you'll see real covered put trade examples so you'll fully understand how the position performs when the stock price changes. tastytrade, Inc. (“tastytrade”) has entered into a Marketing Agreement with Project Finance(Marketing Agent”) whereby tastytrade pays compensation to Marketing Agent to recommend tastytrade’ brokerage services. The existence of this Marketing Agreement should not be deemed as an endorsement or recommendation of Marketing Agent by tastytrade and/or any of its affiliated companies. Neither tastytrade nor any of its affiliated companies is responsible for the privacy practices of Marketing Agent or this website. tastytrade does not warrant the accuracy or content of the products or services offered by Marketing Agent or this website. Marketing Agent is independent and is not an affiliate of tastytrade.