Trading RadioActively in a Fidelity IRA Account

Being approved for Level I trading you should be qualified to:

Buy Stock
Buy Calls
Buy Puts
Sell Calls (covered by long stock)

This should allow you to trade Married Puts as Fidelity would simply view the position as being Long Stock and Long a Put option.

You should also be able to trade Income Method #1, #2, #3, #4, #6, #9 and #10. You cannot do Income Method #5 directly, but you will be able to trade a version of Income Method #5 by scaling down the number of contracts.

You may also be able to qualify for Income Method #7 later on with approval of Level II or III trading. Level III trading will allow you to do Income Method #8 I believe, but I am do not think Fidelity allows that (Level III approval) in an IRA or Retirement account.

Most of my RPM positions are traded through my Fidelity account with the same restrictions you have. I am still able to adjust the positions and match my personal goals without IM #7, IM #8 and having to use a variation of Income Method #5.

About Mike

Michael Chupka is the Director of Education for Power Financial Group Inc., publisher of PowerOptions, a patented online suite of options investment research and analysis tools. He has co-authored two books, the first on Naked Put strategies and the second on the protective Married Put and Collar strategies.