Writing options for a living

I sell covered calls only on weekly ETFs. I have just survived (might not have survived). I am now holding several stocks at higher prices. I am still selling covered calls on them but aim to get 8-10 USD in premium (so as stocks are not called away ) Return is still not bad ,about 12% per year.

I have portfolio margin a/c with IB and I had not allowed my cushion to drop below 55%. In future I intend to buy put for every position and spend 30 % of the premium received.

Please suggest better ways to protect -if any- for covered calls. Thanks
 
I have portfolio margin a/c with IB and I had not allowed my cushion to drop below 55%. In future I intend to buy put for every position and spend 30 % of the premium received.
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Buying puts will cut in to your profits.

What I do is roll out and up with more while trying to stay delta consistent.
 
I have an option writing journal that anyone is welcome to post on. It documents how I've been weathering this recent whacking and doing pretty decent considering I'm margined and beating the market. I post real time trades and exercise in strategies such as rolling options out and what not.

Would more then welcome discussion and other trades within that journal.
 
I sell covered calls only on weekly ETFs. I have just survived (might not have survived). I am now holding several stocks at higher prices.
More...

You can roll out of your otm short calls by buying them back at a profit and sell some more otm calls that have more time value.
 
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