When selling put options for income, a market correction can become an excellent tool to use to better understand a stock that has been chosen for Put Selling.
It is also an excellent tool to use to understand rolling down existing short put options that might have been sold prior to the correction and which ended up in-the-money. Rather than accepting assignment of shares many investors will instead roll-down or roll out their position to earn more income as they try to avoid stock assignment until they have earned a large amount of income. A market correction can greatly assist in that rescue or repair effort as well.
Here’s how investors can benefit from a market correction and learn to let the correction assist their profit making and, where needed, rescue and repair efforts.
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This strategy article is for FullyInformed Members.
How A Market Correction Assists Investors Selling Put Options For Income
Disclaimer: There are risks involved in all investment strategies and investors can and do lose capital. Trade at your own risk.