Don't fall for the trap. 99.9% of millionaire/billionaire investors will not say it was because they did spreads.
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When Warren Buffett $BRK buys a company, do you ever see him "hedging" his bet just in case he is wrong?
He recently bought $GOOG & $UNH
Did he buy puts under those plays to hedge?
NEGATIVE.
This is why option spreads suck.
Spreads mean you are betting against yourself.
Put Credit Spread:
Sell Put: Bullish🟢
Buy Put: Bearish🔴
(betting against yourself)
Sell Credit Spread:
Sell Call: Bearish🔴
Buy Call: Bullish🟢
(betting against yourself)
Don't fall for the trap.
99.9% of millionaire/billionaire investors will not say it was because they did spreads.