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5Yr millionaire spreadsheet
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Thanks for replying
I wanted to ask if you look at the spreadsheet at the beginning it starts with step 1 and 2 and than it repeats 1 and 2 and after that it goes to step 3 and continues from there
Not sure why it is repeating steps 1 and 2 as it doesn't make sense to sell the put twice unless that is supposed to be the debit side of the spread but it clearly says to sell the put I am thinking that is a mistake It looks like steps 1 and 2 were copied and pasted below perhaps intending to edit it later into a debit but it was never done I am surprised no one complained about this unless no one is really using the spreadsheet
About selling the put spread strategy
I think the intent was to pick a stock that is somewhat range bound but with high volatility which is not easy to find so that is the main problem
You can find other stocks with lower volatility but the returns will be much smaller
Selling the put spread is better than selling it naked as the risk is defined but I don't think he said to keep doing the same thing as it is going lower unless you are willing to buy the stock at a lower price otherwise you could switch to another stock You would have to reassess based on fundamentals or technical values if you would want to keep selling put spreads on the same stock at a lower strike
So while it's true that your first spread will be a loss the second one if it gets assigned it will be at a lower price and if it goes back to the strike of the first spread you will have a gain on the stock plus the profit from the first and second spread
It's a good idea if it works but most of the time the stock will not stay in one place with high volatility and let you keep collecting premium it will either move up or down so you would have to adjust as with most other strategies and that is where the nuances or experience would come in on when to do that
What you want to do is to find a stock that you would want to invest that has some volatility and do it on that one that way if you are assigned the shares you would not mind owning it at a lower price
I wanted to ask if you look at the spreadsheet at the beginning it starts with step 1 and 2 and than it repeats 1 and 2 and after that it goes to step 3 and continues from there
Not sure why it is repeating steps 1 and 2 as it doesn't make sense to sell the put twice unless that is supposed to be the debit side of the spread but it clearly says to sell the put I am thinking that is a mistake It looks like steps 1 and 2 were copied and pasted below perhaps intending to edit it later into a debit but it was never done I am surprised no one complained about this unless no one is really using the spreadsheet
About selling the put spread strategy
I think the intent was to pick a stock that is somewhat range bound but with high volatility which is not easy to find so that is the main problem
You can find other stocks with lower volatility but the returns will be much smaller
Selling the put spread is better than selling it naked as the risk is defined but I don't think he said to keep doing the same thing as it is going lower unless you are willing to buy the stock at a lower price otherwise you could switch to another stock You would have to reassess based on fundamentals or technical values if you would want to keep selling put spreads on the same stock at a lower strike
So while it's true that your first spread will be a loss the second one if it gets assigned it will be at a lower price and if it goes back to the strike of the first spread you will have a gain on the stock plus the profit from the first and second spread
It's a good idea if it works but most of the time the stock will not stay in one place with high volatility and let you keep collecting premium it will either move up or down so you would have to adjust as with most other strategies and that is where the nuances or experience would come in on when to do that
What you want to do is to find a stock that you would want to invest that has some volatility and do it on that one that way if you are assigned the shares you would not mind owning it at a lower price
I downloaded my spreadsheet from Stratagem website, don't remember where exactly. But I do have step 1, 2, 3 and so on. My understanding is that the strategy is to keep selling put spreads as in step 1 and buying back for less than 0.10 on step 2, OR if the stock breaches your 2 strikes you close for a full loss OR if the stock at expiration day is between your two strikes you move to step 3.
Otherwise you keep in the loop of step 1 and 2.
Thanks for the explanation on taking the full loss. I thought the idea was to stay in the same stock.
Otherwise you keep in the loop of step 1 and 2.
Thanks for the explanation on taking the full loss. I thought the idea was to stay in the same stock.
Yes you are correct about the step 1 and 2 but there is another step 1 and 2 on the same spreadsheet so that is what I don't understand or there is a mistake
The pdf that is supposed to be the same as the spreadsheet has only one step 1 and 2 so that makes more sense
I think I see where the problem is now that I read line 2
In step 2 a at the end of the row it says to copy section 1&2 and paste above section 3 and looks like that is what was done on the spreadsheet as the pdf does not have that
The problem with that is than you will overwrite the previous gain from the one that just expired so you will not be able to keep track of all the spreads that you closed for 0.10 or less
I think the pdf version of the spreadshet is a little bit clearer Also there are too many 2nd expirations even after step1 and 2
Step 3 and 4 also have some discrepancies
On the flowchart step 3 is for when it expires worthless so you go back to step 1 than there is step 4a and 4b on the flowchart but those are steps 3 and 4 on the spreadsheet That is when you are assigned the stock so you buy the put and sell a call
Basically the flowchart does not match the pdf or the spreadsheet
Now that I have a better understanding of how it supposed to work I think I will work on making a better spreadsheet that makes more sense to me and less confusing and easier to calculate or better yet not even use that spreadsheet and just use the flowchart
The pdf that is supposed to be the same as the spreadsheet has only one step 1 and 2 so that makes more sense
I think I see where the problem is now that I read line 2
In step 2 a at the end of the row it says to copy section 1&2 and paste above section 3 and looks like that is what was done on the spreadsheet as the pdf does not have that
The problem with that is than you will overwrite the previous gain from the one that just expired so you will not be able to keep track of all the spreads that you closed for 0.10 or less
I think the pdf version of the spreadshet is a little bit clearer Also there are too many 2nd expirations even after step1 and 2
Step 3 and 4 also have some discrepancies
On the flowchart step 3 is for when it expires worthless so you go back to step 1 than there is step 4a and 4b on the flowchart but those are steps 3 and 4 on the spreadsheet That is when you are assigned the stock so you buy the put and sell a call
Basically the flowchart does not match the pdf or the spreadsheet
Now that I have a better understanding of how it supposed to work I think I will work on making a better spreadsheet that makes more sense to me and less confusing and easier to calculate or better yet not even use that spreadsheet and just use the flowchart
Okay thanks, but please bear with me here: after I sign in to aeromir.com I don't see where "Recordings and Ebooks" is.
The top-level links are:
and thanks again.
The top-level links are:
- Home
- My Stuff
- Calendar
- Library
- Forums
- Products
- Tools
- Resources
and thanks again.
There is no resource or downloading When you go to the Stratgemtrade website there is a tab called recordings and ebooks
Unfortunately when I hover over the tab it no longer displays the dropdown but if you click on it you will see the content
Not sure if they removed the access if it was not used in a long time but I think if you contact them they will figure out to have access to it
Unfortunately when I hover over the tab it no longer displays the dropdown but if you click on it you will see the content
Not sure if they removed the access if it was not used in a long time but I think if you contact them they will figure out to have access to it