For those making a living by trading options do you go long options or sell premium through spreads?

rush21_ · 2026-03-12T04:23:11+00:00

=== SUMMARY === - The author, u/rush21_, is asking experienced options traders whether they primarily buy options directionally or sell premium via spreads to generate consistent income. - The author is questioning their current strategy of buying options after hearing the argument that premium sellers ("the house") have a structural long-term advantage. - Quality assessment: This is a discussion/question post, not research or due diligence. It's a speculative inquiry into trading strategies, with the value coming from the community's anecdotal responses rather than a data-driven thesis. === SENTIMENT === NEUTRAL === TRADE IDEAS === No actionable trade ideas in this post. === COMMENTS SUMMARY === The community response is largely cautionary, with several users emphasizing that very few traders (1-2%) successfully make a living from options. The consensus is that there is no single "best" strategy; both buying and selling options have their own risks and require significant expertise. Experienced traders like u/esInvests advocate for a flexible approach, focusing on the market condition first and then selecting the appropriate options structure, rather than dogmatically sticking to one method. SPX - NEUTRAL | confidence: 0.70 | sentiment: +0.30 Speaker: u/Sure_Leadership_6003 Thesis: 1. THE FACT: The speaker claims a 20% year-to-date (YTD) return from selling options on the S&P 500 Index (SPX). 2. THE BRIDGE: This performance suggests that a premium-selling strategy on a major index can be highly profitable, likely by capitalizing on time decay (theta) and volatility risk premium in a stable or rising market. 3. THE VERDICT: Selling premium on SPX, likely through strategies like put credit spreads or naked puts, is presented as a viable method for generating consistent returns. 4. RISKS: This strategy is vulnerable to sharp, unexpected market downturns ("black swan" events) which can cause catastrophic losses that wipe out months or years of small gains. The YTD

u/rush21_ · Reddit — r/options · March 12, 2026 at 04:23 · ⬆ 73 pts · 💬 110 comments | View on Reddit ↗

AI Summary

Summary

The author, u/rush21_, is asking experienced options traders whether they primarily buy options directionally or sell premium via spreads to generate consistent income.
The author is questioning their current strategy of buying options after hearing the argument that premium sellers ("the house") have a structural long-term advantage.
Quality assessment: This is a discussion/question post, not research or due diligence. It's a speculative inquiry into trading strategies, with the value coming from the community's anecdotal responses rather than a data-driven thesis.

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