Retail investors pick strike prices completely wrong.

They open the options chain.
They look at delta.
0.32 delta.
32% chance it goes in the money.
"I'll take those odds."
Here is the HUGE problem...
Delta does not factor in:
EPS growth rate.
Revenue trajectory.
Whether the company has a moat.
Whether the market is a bubble.
Whether the Fed is about to hike.
It factors in 4 things and calls it a "probability" but excludes so much of the true needle mover stuff...
Here is how I pick strike prices.
Market/stock is cheap.
Moat/pricing power/competitive advantage/good valuation.
I sell puts 10% below an already undervalued price.
I go 1 year+ out & give EPS time to grow and valuation to re rate higher.
Portfolio secured put wins again.