I decided to elevate my risk a little and aim for higher premiums. To do this I wanted to be able to sell naked puts and covered calls on AAPL without always having to use spreads. I funded my account with another $10,500 to be able to do this, making the title of this thread a bit of a misnomer. I will have to take on margin to execute this strategy which definitely adds a new layer of risk. However, this is my only account with margin and my other accounts are doing extremely well so I can afford to take this risk.
I plan to trade fairly close to the strike place with the intention of being assigned frequently. Once assigned, I'll sell calls at least $5-10 higher than my assignment so that I make premiums in addition to capital gains. Doing this on a weekly or monthly basis has a good chance of yielding excellent results. I will win if Apple stays flat or gains - my risk is a steep and lengthy drop which I deem unlikely given all the positive catalysts on the horizon.
I placed my first trade today - had to choose a low strike price for margin reasons.
Sold: 1 AAPL 18AUG12 595.00 P: +$81.00
Closed: BeCS 1 AMZN 17AUG12 255/260: -$4.00 (done to free up a little margin - netted about $30 off this spread)
I plan to deposit a little more into this account reasonably soon in order to ease the margin and allow me to continue making other plays as I have been.