How can you buy below the market? Try selling puts below the current price.
We’ve added this explanation on put writing from the Options Industry Council. One of our favorite strategies is naked put selling. We only do this on securities we would be willing to own. When we can’t find anything to buy at prices we like ( for example the market has risen to new heights), we may sell puts on stocks we would be willing to buy if they fell back to a level we were comfortable with. If we get put the stock, we are no worse off than had we bought it at that price. If we don’t’ get … Read more