Guide · Start hereEverything you need to follow the picks
Short on purpose: about 10 minutes end to end. Standard options terms are marked Standard term, words we made up are marked Our term, so you know which ones you'll hear elsewhere.
The wheel in 5 minutes
The wheel is a loop of two trades. You get paid to agree to buy a stock you'd be happy to own, at a price below today's. If it never drops that far, you keep the pay. If it does, you own the shares at a discount and get paid again to sell them.
1Sell a putMonday after 10 AM ET, on a stock the rules picked. You're paid the premium now and set aside strike × 100 in cash.
2aIt expiresFriday the stock is above the strike. You keep the premium, the cash is free, back to step 1.
2bYou're assignedFriday the stock is below the strike. You buy 100 shares at the strike. Not a disaster: the premium lowered your cost.
3Sell covered callsEach week, get paid to agree to sell those shares at or above your cost basis, until they're sold and the cash returns to step 1.
What Wheel Strategy adds: the rules pick which stocks and strikes each Monday, and the app tracks every step for you.
Concepts
Cash-secured put Standard term
You sell a put and keep enough cash to buy the shares if assigned: strike × 100 per contract. A $74 strike ties up $7,400. Nothing is borrowed, which is why it's allowed in most IRAs.
Assignment and covered calls Standard term
If Friday's close is under your strike, you buy the shares. Then you sell covered calls each week at or above your cost basis until the shares are sold. That's the second half of the wheel.
Rolling for a credit Standard term
Buy back the current put and sell a later, usually lower one in a single order. Do it only when the new premium is larger than the buy-back cost, so you're paid to wait. Our rules never use stop-losses.
Return on cash secured Our term
Every result we show is premium kept (minus any assignment loss) divided by the cash set aside. 1% in a week on $7,400 is $74.
Paper mode Our term
Follow the picks with no money at risk. Mark what you'd take; Friday we grade it like a real trade. We suggest four weeks of paper first.
Trust
Every Monday's picks are locked with a public fingerprint before anyone can trade, so the track record can't be edited after the fact. How the fingerprint works
Glossary
Standard options terms · used everywhere
OptionA contract giving the right to buy or sell 100 shares at a set price by a set date.
PutThe right to sell. When you sell a put, you take on the duty to buy.
StrikeThe price you'd buy the shares at if assigned.
ExpiryThe last day of the contract. Ours are the Friday of the same week.
PremiumWhat the buyer pays you for the put, per share. ×100 per contract.
BidThe best price buyers offer right now. Selling at the bid is the realistic fill.
OTM (out of the money)For a put: strike below today's price. All our picks start OTM.
DeltaRough odds the put ends in the money. We show it; the rules don't use it.
RSIRelative Strength Index, 0 to 100. Low means the stock has fallen fast lately. Rules want 30 to 45.
%B (Bollinger)Where the price sits in its recent range: 0 is the bottom band, 1 the top. Rules want 0.40 or less and turning up.
AssignmentYou're made to buy the shares at the strike because the stock closed below it.
Covered callSelling a call on shares you own: paid now, agree to sell at the strike.
Cost basisWhat your shares really cost after subtracting premiums collected.
RollClose a position and open a later one in one order.
Our terms · Wheel Strategy
PickA stock and put the rules chose this week, with the strike and the live bid.
Bid ÷ strikeWeekly return on cash secured if the put expires. Target 1.0 to 1.5%.
BelowHow far the strike is under today's price. At least 5%.
FitContracts of a pick that fit under your per-stock cap.
Shared cutIf picks pay too richly (over 1.5%), every strike moves down by one shared % for more cushion.
Green last FridayThe stock closed up last Friday. Those picks rank first.
Strategy variablesThe adjustable settings behind the rules, such as RSI range or minimum premium.
Follow-along scoreShare of picks you actually took. Explains you vs the system.
FingerprintA SHA-256 code of the pick list, published before trading.
Paper modeTracking picks without real money, graded like real trades.
Near-strikeA stock you sold a put on is within your chosen % of the strike.
Educational only, not investment advice. Options involve risk; read the OCC's Characteristics and Risks of Standardized Options before trading.