Trading an IRA account

[aplino]

How can I take advantage of bear market trading an IRA account?
Obviously I can sell puts deep out the money with the intent to be called in a desirable price or sell covered call.
Is it allowed to be long on a reverse ETF?
Any other ideas?

 

[lindq]

How can I take advantage of bear market trading an IRA account?
Obviously I can sell puts deep out the money with the intent to be called in a desirable price or sell covered call.
Is it allowed to be long on a reverse ETF?
Any other ideas?

You can be long puts and ETFs in an IRA, so long as you are approved for options. But I don't know of any broker that will permit you to short options in an IRA.

 

[Cuddles]

You can go long on bear ETFs

 

[aplino]

Does IRS allow to go long on a bear ETF in a IRA account?

 

[aplino]

I believe that Ameritrade allows selling puts if the funds to purchase the underlying are in the account

 

[Trader200K]

Does IRS allow to go long on a bear ETF in a IRA account?

Yes

 

[ajacobson]

Tasty allows uncovered calls - you do need a ton of pseudo margin. They have a video on their site.

 

[zoned_post_meridiem]

Does IRS allow to go long on a bear ETF in a IRA account?

in the IRS' eyes, it's just being long an ETF. How the ETF calculates its value isn't important.

 

[madbrain]

But I don't know of any broker that will permit you to short options in an IRA.

You can sell cash-secured puts in an IRA. Been selling a few of them OOM near the close time and grabbing a few pennies.

 

[madbrain]

You can go long on bear ETFs

Note that the bear ETFs are meant for intra-day trading. Not for holding. They reset each day. If you hold for longer than a day, with the wrong sequence of ups and downs, you can lose money even you correctly predicted the downtrend.