Options strategy finder
Up, down, sideways or a big jump? Tell it what you expect and how much risk you'll hold. See which strategies are built for that, and what can go wrong with each.
Every strategy here at a glance
| Strategy | Built for | Most you can make | Most you can lose |
|---|---|---|---|
| Covered call | Flat to slowly up, own shares | Capped: strike − your price + premium | The shares' full drop, less the premium |
| Cash-secured put | Flat to slowly up, happy to buy | Capped: the premium | Strike × 100 − premium, if the stock goes to $0 |
| The wheel | Flat to slowly up, long term | Capped: premiums, plus the gain to the call strike | The shares' full drop, less premiums |
| Collar | Own shares, want a floor | Capped at the call strike | Capped at the put strike |
| Protective put | Own shares, fear a drop | Open: the shares can keep rising | Capped at the put strike, plus its cost |
| Long call | Strongly up | Open | Capped: the premium you paid |
| Long put | Strongly down | Large: down to $0 | Capped: the premium you paid |
| Bull call spread | Up, to a target | Capped: the gap − the debit | Capped: the debit |
| Bear put spread | Down, to a target | Capped: the gap − the debit | Capped: the debit |
| Put credit spread | Not down | Capped: the credit | Capped: the gap − the credit |
| Call credit spread | Not up | Capped: the credit | Capped: the gap − the credit |
| Iron condor | Stays in a range | Capped: the credit | Capped: the wider gap − the credit |
| Short strangle | Stays in a range | Capped: the credit | No ceiling above the call |
| Long straddle | A big move, either way | Open | Capped: both premiums |
| Long strangle | A bigger move, either way | Open | Capped: both premiums |
| Poor man's covered call | Slowly up, no shares | Capped by the short call | Capped: the net debit |
How it works: every options strategy is a bet on two things: which way the stock goes, and how far. This finder starts from your view, then removes what doesn't fit. Pick "capped" risk and anything that can lose a stock's full drop, or more, is taken out. Say you own the shares and the strategies that use them come first. What's left is a short list of strategies built for that view, each with its catch. It never picks a stock, a strike or a date. That part is your work, and the payoff calculator shows what any choice does at expiry.
Your view comes first, not the strategy
Most beginners pick a strategy they heard about, then hope the stock does what it needs. Flip it. Decide what you think will happen first: up, down, sideways, or a big jump. Then decide how sure you are. A slow drift and a big move need very different tools. Selling options gets paid when not much happens. Buying options gets paid only when a lot happens, fast. The vertical spreads guide shows both sides of that trade-off with one stock.
Where the wheel fits
The wheel strategy is two of these strategies in a loop: a cash-secured put until you get the shares, then covered calls until they're sold. It fits one view: a stock you'd be glad to own, going sideways or slowly up. If your view is a big move or a drop, the wheel is the wrong tool, and the finder will say so.
The Options Wheel System · for StructureX members
Learn the whole wheel, step by step. Use it for life.
44 plain-English modules take you from zero to running the wheel: covered calls, cash-secured puts, assignment, rolling, the math and the risk rules. A scored quiz after every part. Members of StructureX Foundations, my 50-lesson course, add it in one click, with the AI Research Desk.
See What’s Inside the Course $34.99 a month · Cancel anytimeFollow along