Also, if Tech Lead can't make a buck on stocks, I'm not sure I would fare any better. :(
First you pick a high paying dividend stock you wouldn't mind owning. I will use XOM as an example. Back in Oct, I sold 5 puts for strike 66 and 5 more at strike 68 expiring in Nov. If they put the stock to me I would capture the dividend paying 5% because they would put it to me before the ex dividend. The premium was around 1.65 for the 66 and 1.75 for the 68. I ended up buying both back before Nov at under 60 cents because I had made more than the dividend without owning the stock. I then bought 500 shares before the ex dividend and sold 5 $70 calls expiring in Jan @1.52. I also sold 5 Jan 67.50 puts @ 1.20. I collected the 5% divy and will get $70 + 1.52 for the call as it looks like it might be called away in Jan. The 67.5 put will expire worthless if that happens. I'm willing to own up to 2k shares of XOM as long as my price is less than 70 just for the dividends. I will sell more puts below 70 and 66-67 is a steal IMO.
Notice all I do is sell puts and calls, never buy unless I'm closing a short position for a profit. I do this over and over all year long and am making over 20% a year. I have other stocks like AT&T and do the same. I try to get put premiums over the dollar amount of the dividend, such as .87 for XOM and .52 for T. That way if the stock is called away or put to me, I get the equivalent or more of the dividend without owning the stock.
I hope that makes sense. A large company plus a large dividend, that moves enough to make reasonable option premiums is all you need. Study the charts and see what a reasonable price would be during the year. Nasdaq stocks move a lot, but most pay no or very little dividends. Many old time Dow stocks fit the profile. I try to find one paying above 3%, the more the better up to about 6%. After that, there is a reason they pay 6% or above that is not good. XOM is my favorite.
Selling premium and collecting dividends is a reasonable way to draw more than 10% or more on your money. A company that cuts it's dividend is a killer for this. Awhile back COP cut their div and I was underwater for a couple of years.
Oh, and vote for Trump to look like a genius.