Wheel Strategy Calculator
Calculate potential income from the wheel options strategy using real market data
Strategy Setup
How The Wheel Strategy Works
1
Sell Cash-Secured Put
Sell a put option at a strike price where you'd be happy to own the stock. Collect premium upfront.
2
Wait for Expiration
If stock stays above strike: keep premium, repeat step 1. If stock falls below strike: get assigned shares.
3
Sell Covered Call
Now owning shares, sell a call option above your cost basis. Collect additional premium.
4
Complete the Wheel
If stock stays below call strike: keep shares and premium, sell another call. If called away: take profit, restart wheel.
Risk Warning: The wheel strategy works best on stocks you're willing to hold long-term. Maximum loss occurs if the stock price drops significantly after assignment. Past performance does not guarantee future results. Options trading involves substantial risk of loss.