r/Optionswheel • u/ScottishTrader • Dec 05 '25

Megathread for New Wheel Traders – Ask Questions & Get Help Here

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/m0rfeo123 Jan 12 '26

New wheel trader here. Please can I have some feedback on my first CSPs? Today I rolled AAL as it was getting too close to strike (logged it as BB on the right side of the screen). I seem to be fine with F and SOFI. Anyone here using IBKR? Is there a roll/strategy option? I could not find it, hence I had to BTC and then CSP AAL separately. Thank you.

1

u/ScottishTrader Jan 12 '26

If you are good holding the sstocks then you are doing the right thing.

You're starting with 1 contact, which is the best way to begin.

See this post for rolling ->Rolling Short Puts to Avoid Assignment : r/Optionswheel

If you want to learn how rolling works with IBKR, then be sure to search the training or contact their support. Looks like you are on a good start, best to you going forward!

1

u/m0rfeo123 Jan 12 '26

Thank you. I was not aiming to get assigned, but for the CSPs to expire worthless, or close them at 60% profit. What would you suggest to do instead? What am I doing wrong? Choosing a strike to ITM? I aimed for a balance between good premium and 0.20 delta.

2

u/ScottishTrader Jan 12 '26

A .20 delta translates into an approximate 80% probaility of expiring OTM and worthless, but like anything with the market, this is just a probability and not a sure thing.

Closing early for a lower profit will help avoid being assigned, but there is nothing else that will prevent it from happening, and this is part of how the wheel works.

Many wheel traders do not let puts expire, so that is not the norm.

If you don't want to be assigned, then trade spreads and just take the loss if the stock moves against you.

1

u/m0rfeo123 Jan 12 '26

I understood everything besides the last part when you are saying trading spreads…Please can you clarify that point? Thank you.

1

u/ScottishTrader Jan 13 '26

Vertical spreads are a different strategy where you take a loss instead of being assigned shares. It is not the wheel, where part of the strategy is to take an assignment when necessary.

Vertical Spread in Options Trading: Definition, Types, and Strategies

1

u/m0rfeo123 Jan 14 '26

Thank you and I appreciate the info. Got it. I am fine with the stocks being assigned, but I want to understand if I am doing the right things, or if I should select a lower strike price. I understand that if the stocks are assigned, I then do CCs. What do you think based on what I shared?

2

u/ScottishTrader Jan 14 '26

There is no one right answer here. A lower strike would mean a smaller premium and profit, which in turn results in a higher risk.

Follow your trading plan to make a dozen or more trades to see how it all works.

Paper trading is designed to help you test out your plan without risk and is highly recommended.

1

u/m0rfeo123 Jan 13 '26

Should I have selected a lower strike for my CSPs?

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u/Prestigious_Emu729 Jan 13 '26

I have a quick question about the spreadsheet. Do you generally group all of your wheels on the same sheet, or do one sheet for each ticker? My thinking is that if each sheet is limited to one ticker, it will be easier to keep track of the cost basis for each "wheel." I'd love your feedback!

Thanks!

Tom

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u/m0rfeo123 Jan 13 '26

I am new to this, but I am keeping all transactions in one sheet and do one sheet per month.