WRITING TRADED OPTIONS for income

younasm :
I sold LGEN naked 100p and 100p puts last August; closed the 110p
early to avoid loss and gained full premium on the 100p
before they re-traced below 100. No present position .
The long-term 5-year share graph looks awful .
Liffe shows trades of 25.5 for 120 and 11.25 for 100 .
Your trades, I presume ?
It's controlled risk and you pay the price for that protection by reduced
profit potential . Bullish trade as you say. The bulls win if the market goes up. Most of us appear to feel bullish at the moment.
I might be tempted to sell the LGEN 90p or 100p puts naked again if a decent premium was available but I don't feel sufficiently tempted yet . Good luck with your trade. Looks safe enough .