I am trying to do the same thing by taking out PUT calendar spreads. I have had a few good days. CAT is funny even though I have a long Put and a short Put I have managed to trade them three times for profit and every time I bring the strike price down! Right now my strike on CAT is 75 and at that price I would probably take ownership.
Great way to make weekly income and pick up great dividend Blue chip. stocks. I am currently working with 9-10 stocks!