Back to the home page
Questions and answers
The idea in plain words, the awkward questions, and the practical details of trading from outside the United States.
How it works
What exactly am I selling?
A promise. You agree to buy 100 shares of a company at a set price, any time before a set date, and you are paid a fee (the premium) up front for agreeing. The trade is called a cash-secured put because you keep the cash to buy those shares ready in your account.
Who pays me, and why would they?
Other investors, through the exchange. Some own the shares and want protection against a fall; others expect the price to drop. The company itself pays nothing and is not involved. The Buffett story walks through it.
What does “expiration” mean?
The last day your promise is valid. If the share price is still above your promised price on that day, the promise simply ends: you keep the premium and the cash you set aside is free again.
What is a covered call?
The other half of the cycle. Once you own 100 shares, you can sell someone the right to buy them from you at a higher price by a set date, and collect a premium for it. If the price rises past that level, your shares are sold there and your gain stops at that price.
Risk
What happens if the price falls below my promised price?
You buy the 100 shares at the price you promised, and you keep the premium, so your real cost is the promised price minus the premium. The shares may be worth less than that on the day, and that loss is real. This is why we only suggest companies you would be content to own, in a size your account can carry.
If I end up owning the shares, what next?
You can keep them, or sell covered calls on them to keep collecting premium while you wait for the price to recover. That is the full cycle: sell a put, own the shares if assigned, sell calls until they are sold.
Is this guaranteed income?
No. The record above includes a losing trade, and there will be more. Rates on this page are averages or targets, not promises, and money invested can fall in value.
Why not Apple or Microsoft?
Steadier stocks pay less. On Sep 17, a one-month put 5% below the share price paid 0.9% on AAPL, 0.8% on MSFT and 1.2% on NVDA. Higher-paying names move more, which is why every trade we send is sized to your account.
Getting started
How much money do I need to start?
One contract covers 100 shares, so the cash you set aside is the promised price × 100. In the Sep 17 snapshot above that ran from $3,700 (SMCI) to $52,000 (AMD). The planner shows which trades fit your account.
Do you hold or manage my money?
No. Your money stays in your own brokerage account and you place every order yourself. We send education, trade ideas and tools.
Can I do this from Vietnam or another country?
You need a brokerage account that can trade US options. Several international brokers accept clients who live outside the United States; whether you qualify and how you fund the account depend on your country and the broker, so check with them directly. The US market opens at 9:30 AM New York time, which is 8:30 or 9:30 PM in Vietnam depending on the season.
Can I cancel my membership?
Yes, at any time. The first 14 days are free, so you can see the morning signals for yourself before paying anything.
Still have a question?
The clearest answer is to watch it work. Try the morning signals free for 14 days.