The Wheel Strategy Library
Master the Wheel Strategy: a systematic, automatable approach to generating consistent income from options. Learn both variations and find the right approach for your account size.
What Is the Wheel Strategy?
The Wheel Strategy is a cyclical income system that combines cash-secured puts andcovered calls to generate consistent passive income options wheelpremium income. This options wheel strategy guide shows youhow to run the wheel strategy effectively. It works for accounts from $500 to $100k+ (perfect for wheel strategy for small accounts), requires no complex data analysis, and is fully automatable through wheel strategy automation via broker APIs like Interactive Brokers (IBKR).
Traditional Wheel
Sell cash-secured puts → If assigned, sell covered calls → If called away, repeat. Perfect for small to medium accounts. Simple, effective, fully automatable.
- Best for: $500 - $25,000 accounts
- No complex data needed
- Fully automatable via IBKR API
Long-Term Investment Wheel
Sell covered calls on long-term holdings → Roll or buy back to prevent assignment → Keep your shares forever. Perfect for tax-conscious investors and long-term holders.
- Best for: $10,000+ accounts
- Preserves long-term holdings
- Tax-efficient strategy
Getting Started
Each capital range guide includes:
- Recommended stock price ranges and market caps
- Which Wheel variation to use (Traditional vs Long-Term)
- Realistic income expectations
- Position sizing and risk management
- Progression goals for the next capital level
Select a capital range from the navigation to explore strategies tailored to your account size, or start with The Wheel Strategy guide to understand both variations.