This post was created in partnership with Moomoo Singapore. All views and opinions expressed in this article are the objective and professional opinions of Beansprout.
What happened?
From time to time, stocks may retreat from their highs as volatility increases. For long-term investors like me, this is the time when opportunities emerge where stocks on my watchlist may start trading at more attractive levels. But deciding how to enter isn’t always straightforward. Some investors may average positions over time while others may wait for clear signs of stability before committing capital. And in volatile markets, timing entries becomes even more challenging. If I already have a price in mind, one approach I might consider is to use options to structure that entry. For example, a cash-secured put strategy allows me to define the price I am willing to pay to earn income while I wait. Rather than fully commit or hold on to today’s prices…
