Hi there I am Daytrading on a C2 account and my edge is writing options with a relatively prudent approach towards risk (I try to avoid getting assigned or holding overnight positions unless its the collection of premiums for a longer time frame option).
So far so good - strategy works fine, I finetuned it, reduced position size and aggressiveness in order to avoid large drawdowns seen in the beginning. Now I do have a problem though - since the options are written (SPY, TQQQ, SPX,…) the brokers probably require an extremely high margin and that might be a problem for some investors. I wonder if this can be circumvented by building credit spreads in order to reduce margin requirements. What is your input, what should be done to make this strategy feasible for most investors? Directional trading by itself without options is not possible - options are my edge. Please let me know your thoughts.