SELL QQQ Put - (Long QQQ at $270)

Selling $270 QQQ puts expiring 9/30 for $2.20

10% notional position, if executed.

Selling some puts on QQQ. This strike price gives me 10% downside protection in exchange for making 0.81% on my cash. Which isn't bad for a month-long trade and with that kind of protection.

QQQ is down from ~$400/share at the start of the year - which is ~25% at today's level. To drop another 10% isn't out of the question, but also isn't a given. At my strike price of $270, that's down 32%+ from the high...not a bad time to consider buying. 

Selling puts like this when you think the market might drop but you're ready to start building up a position is a great way to make money, protect capital, and get long.