When I discuss option strategies on this blog, the emphasis will be on making money and managing risk.

The following are the methods I recommend for investors who already understand how options work.For rookies, I recommend the same strategies, but it’s important not to begin trading any of them without first gaining a solid understanding of how each of these strategies works and what you are trying to accomplish when you adopt them.

  • Covered call writing
  • Cash-secured naked put selling
  • Collars
  • Credit and debit spreads
  • Iron condors
  • Diagonal, and double diagonal, spreads

As I continue to write this blog, I’ll offer tips on each strategy and reply to your questions.Note: The first two strategies on the list are great for learning to use options, but they are inherently more risky than the other four strategies listed.Yet, if you are a newcomer to the options world, it’s important to understand how these strategies work.

For readers anxious to learn much more about these methods more quickly, my newest book The Rookie’s Guide to Options teaches you (in detail) how to use each of these methods.For a 15% discount, use the code: 3WMWRG