Options Trading in Your 40s: Taking on More Risk - Financial Freedom, #246

We should start seeing the light at the end of the tunnel in our 40s. We are married, have kids, and a well-paying job. It's time to start generating income and building wealth. Options trading can play a significant role in your wealth-building aspirations. You can always go to the "tried and true" options wheel strategy. However, you can assume some more risk by trading long strangles. Strangles consist of buying one put and one call. Together, you can profit from the winner, and your losses are capped from the loser.
However, you must have a pretty significant price swing to have a profitable trade before your options expire. Knowing your sleep-well-at-night number is the key to safely trading options in your 40s. Once you have that, you are off to the races. Good Luck!