Options starting capital

Hi Fools

I’m pretty new to investing and after building a small portofolio with stocks and ETFs I would like to try also options.
What would be a recommended capital for starting with options? I’ve seen recommendations from 2k to 10k so I am a bit unsure.
I will add more over time but I would like to know what’s a minimum to get started ?

Start with covered call on existing position. Which requires no capital and of course you will have to give up your shares if the stock raises. Otherwise you are making some premium income.

As you get comfortable with that then we can talk about specific strategies.

On the capital, you may want to think how much % of age my investing assets I want to allocate for option trading, rather than a fixed amount.

Why $10K may be a reasonable amount for someone with $1 M assets, it is a a lot of capital for someone with $20K total assets.

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My problem is that I dont have 100 shares for any stocks I own. I’ve already have a % in my calculation but I wasnt sure if that sum is enough for starting. As I was saying I would add over time but needed somewhat of a estimate.

Your strategy sounds good and I think I’ll get some positions to 100 and start with those.

Thank you for replying Kingran

Sure good luck. As you sell covered call, even if it is painful, start noting the values for delta, gamma, theta for every day. I would note them in an excel sheet like

Date, stock price delta, gamma, theta, …

Why? first by checking everyday you will see how the stock price, implied volatility, time all have an impact on the option premium.

Even if you do this for 2 months, you will develop a deeper understanding of how these 3 influence the option premium. You can read but nothing like plotting it for a month to develop a better feel.

Once you get how these 3 behave, the rest is simply math.