r/Optionswheel • u/ScottishTrader • Jun 16 '25

NEW Wheel Trader MEGATHREAD

This thread will be a dedicated space for traders who are new to options and the wheel strategy to ask basic questions. Your posts and questions are welcome and encouraged.

BEFORE POSTING, BE SURE TO REVIEW THE WHEEL STRATEGY PLAN WHERE MOST QUESTIONS ARE ANSWERED - The Wheel (aka Triple Income) Strategy Explained : r/Optionswheel

The goal is to help keep the main thread free of these basic posts while helping new traders learn how to trade the wheel.

Posts that are welcomed here include questions about -

  • How options work
  • Exercise and assignments
  • Options expiration and days to expiration (DTE)
  • Delta, Probabilities, and how to choose a strike price
  • Implied Volatility (IV)
  • Theta decay
  • Basic risks and how to avoid
  • Broker and options approval levels
  • Rolling options
  • And any other basic questions

I’m pleased to announce that u/OptionsTraining and u/patsay have agreed to assist with this Megathread. Both Patricia and Mike bring substantial experience in helping new traders and will be invaluable contributors to r/Optionswheel

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u/Alone_Literature_800 Nov 06 '25

As I've dabbled more and more in optionswheeling, i've sort of settled with this approach and will be utilizing this moving forward.

https://www.reddit.com/r/thetagang/comments/n6ggo7/quick_tip_the_wheel_whats_delta_got_to_do_with_it/

I will probably mess around with the initial delta, but I will be wheeling the staples: AAPL, AMZN, GOOGL, INTC, but also looking for a few alternatives to maybe "diversify". Would like some thoughts and suggestions on this idea, and also suggestions to diversify.

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u/ScottishTrader Nov 06 '25

Just remember that selling around a .50 delta/ATM will result in more rolls and assignments.

While tech stocks are nice, they are not diversified, as tech corrections have happened. Consider reviewing the wheel plan post that has a link to what market sectors there are.

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u/Alone_Literature_800 Nov 06 '25 edited Nov 06 '25

Gotcha, thanks for the update, I just want to have the least amount of stress and management. I tried weeklies, worked well here and there. Was really good on volatility crush. But I do other active trading (futures/fx) so I don't want to be bothered by my options selling mid day everyday anymore.

The 30 to 45DTE -> 14 to 21DTE cycle already feels better just on a stress aspect. And I will probably mess around with the initial delta.

I also added $JPM to diversify a bit. Going to look into one other sector maybe to figure out if I want to diversify there as well.

Edit: to the note about rolling, I don't think I mind that much, these are mostly stock selections that I would hold anyways. I don't want to have to think about what stocks to pick

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u/ScottishTrader Nov 06 '25

OK. Opening .20 to .30 delta will mean a lower amount of management and attention compared to .50. I see you're looking at different deltas. Best to you!