Cycle Trading

[JLS]

Call spreads are new for me.

I don't recall ever doing even one but I've been thinking of doing them for quite a while.

The disadvantage of the spread is that it limits profit by selling the overhead Call.

The advantage is that if/when price temporarily goes down, profits could be takin on the Call sold by buying it back at a lower price. Then, as price (might) move higher, sell it again or sell a higher one on a larger stock bounce.

So ... I figured the only way I'm going to learn how to use them is to actually do them.

The same goes for just outright buying Puts. I probably ought to be doing Put spreads and possibly trade one leg of it.