Selling Puts Vs Buying Calls Direct
: Works against you; the option loses value every day it doesn't move toward your target. Key Decision Factors Market Outlook :
is often preferred when Implied Volatility (IV) is high , as you receive more premium for the risk. selling puts vs buying calls
: Substantial risk if the stock price tanks, as you are obligated to buy the stock at the strike price. : Works against you; the option loses value
is generally better when IV is low , making the options cheaper to purchase. Probability of Success : : Works against you