What is the Wheel Strategy?

The wheel strategy is a popular options income approach where traders sell cash-secured puts (CSPs) on stocks they want to own. If assigned, they sell covered calls (CCs) against the shares. This cycle repeats — collecting premium income at every turn of the wheel.

The strategy works best on high-quality, liquid stocks you'd be comfortable owning long-term. Assignment isn't a loss — it's the wheel working as designed.

How This Wheel Tracker Works

TraderVoila's free Wheel Tracker lets you log every turn of your wheel in seconds. Add a cash-secured put or covered call, track its expiration countdown, and close it out as expired, assigned, or bought back — all from your phone or desktop.

Your dashboard shows total premium income, open positions with DTE countdowns, win rate, and at-risk capital. Create a free account to sync your trades across all devices.

Tips for Running the Wheel Successfully

• Only wheel stocks you'd own. Assignment isn't a loss if you wanted the shares anyway. Pick fundamentally solid companies with liquid options chains.
• Sell CSPs at 0.20 delta. This targets roughly an 80% probability of expiring worthless — more conservative than the commonly cited 0.30 delta, and there's still plenty of premium at the 0.20 strike on most quality stocks.
• Close at 50% profit. Many wheel traders close early when they've captured half the premium, freeing capital for the next trade faster.
• Track your advisors. Use the advisor field to see which trading services or research sources are actually generating returns for you.