Will this naive option strategy work in practice?

[SForce]

Quote from Tom1am:

Actually, the question is quite logical.

The answer is we cant do it but the guberment can.

Actually I'm pretty sure it's illogical.
Logically, if you could do that then you wouldn't need any funds to open an account with in the first place.

 

[Buy1Sell2]

Quote from Longcat1982:

Suppose you start with a brokerage account with some cash.

1) Sell a bunch naked put options and hope they all expire out of the money.

2) When you're faced with a margin call, sell more naked puts until your account value is at $0 or higher

Go to #1

The basic premise is that when your account balance drops below 0, you sell additional naked puts to bring the balance back to 0 (and hope they all expire OTM.)

No it will not work for various reasons. Thank you for your time--Ishmael

 

[xflat2186]

Quote from dagnyt:

I agree that the OP's plan was absurd.

But he doesn't know that. He is new to this. Can't we have a little sympathy for a rookie?

Mark

I agree with you. Its one thing to Bust the B's of some of the true idiots here but IMO the OP is just a rook asking a question