Basic Options Strategies Workbook: Building Covered Calls and Puts Step by Step

Reading about covered calls and cash-secured puts is different from working through the numbers for a specific stock position, selecting a strike based on your income target and upside tolerance, and having a plan ready for assignment before it happens. This workbook course provides the structured procedures that turn conceptual understanding into executable decisions. By the end of this course you will be able to select a covered call strike and expiration using a defined income-to-upside-cap analysis, calculate the exact maximum profit, maximum loss, and breakeven for a covered call or cash-secured put position, plan a specific response to early assignment or in-the-money expiration before entering the trade, and build a monthly covered call tracking worksheet for a multi-position portfolio. What you will learn: - Covered call strike selection worksheet: delta, premium yield, and upside cap as a three-way trade-off - Covered call outcome calculation: step-by-step for three scenarios — stock below strike, stock at strike, stock above strike - Cash-secured put capital requirement calculation: ensuring sufficient capital is reserved and understanding the assignment obligation - Cash-secured put strike selection: selecting strikes that represent acceptable acquisition prices for the underlying stock - Assignment preparation checklist: defining responses for in-the-money expiration before the trade is placed - Early assignment assessment: understanding when early assignment is likely and how to respond - Rolling a covered call: decision criteria for rolling up, rolling out, or taking assignment - Monthly tracking worksheet: recording entry premium, current premium, days to expiration, and annualised yield Each section presents a worked numerical example followed by a blank worksheet. Case studies illustrate common execution errors — selling a covered call on a stock just before an earnings announcement, buying back a cash-secured put at a loss due to an unexpected price move, failing to plan for early assignment on a deep-in-the-money call. Reflection prompts ask you to complete each calculation before reviewing the worked version. This course is designed for stock investors who are new to options and want practical, step-by-step guidance on covered calls and cash-secured puts. Suitable for those who are new to options trading but have experience owning individual stocks. This course is informational and educational and does not constitute financial or investment advice.