Ok so here’s my plan. I will purchase 1500 shares of Bank of America once it hits 30. I plan to sell 1 month DTEs covered calls monthly. Collecting about 2k possibly 3k in premiums monthly, especially if I sell on a pump day.
The covered calls will be $2 higher than my average so even if they are called away I will make that months premium, plus 3k additional from the shares.
This is one of the safest bets I can find to collect passive income. What do you guys think? Is there a better stock you’ve found that is cheap yet collects high premiums for selling options? Please share all negative or positive criticism from this thank you!
Worst care scenario, Bitcoin takes over, BofA files for bankruptcy and I’m SOL. But honestly all the old heads I’ve talked to have told me bank stocks during a recession are the best bet. BoA is currently 21% down from ATH and 12% down from pre-COVID highs.
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