Introduction to MyATMM v2: Continuous Wheel Strategy Tracking Platform

Introduction: The Spreadsheet Problem

Option sellers running the wheel strategy face a persistent challenge: tracking cost basis accurately across multiple transactions becomes exponentially more complex as positions mature. Traditional spreadsheets demand constant manual updates, formula maintenance, and vigilant error checking. Miss a single transaction entry and your entire cost basis calculation becomes unreliable.

MyATMM (MyAtTheMoneyMachine) solves this problem with a web-based platform purpose-built for option sellers. The application automatically tracks every covered call, cash-secured put, assignment, and rollover transaction while continuously calculating your current cost basis in real-time. Your data lives securely in the cloud, accessible from any device—desktop, mobile, or tablet—wherever you need it.

This platform was created by an active option seller who encountered the same tracking frustrations. Rather than settling for inadequate spreadsheet solutions or bloated general-purpose portfolio tools, the platform addresses the specific workflows and calculations that wheel strategy traders require daily.

Platform Purpose: MyATMM replaces error-prone spreadsheets with automated cost basis tracking designed specifically for option sellers running covered call and cash-secured put strategies. Track all transactions in one cloud-based platform accessible from anywhere, with calculations that update automatically as you manage your positions.

The Continuous Wheel Strategy Explained

Before diving into how MyATMM tracks the strategy, understanding the continuous wheel strategy itself provides essential context. This systematic approach to option selling generates weekly income through a repeatable cycle of covered calls and cash-secured puts on the same underlying.

Traditional Wheel Strategy Review

The standard wheel strategy follows this basic pattern:

  1. Sell cash-secured put at-the-money
  2. If assigned, purchase 100 shares
  3. Sell covered call at cost basis
  4. If assigned, sell shares and return to step 1

This creates a cycle where you're alternating between holding cash (selling puts) and holding shares (selling calls). The weakness: you only generate income from one side at a time.

The Continuous Wheel Enhancement

The continuous wheel strategy adds a critical modification: after acquiring shares through put assignment, you simultaneously sell both covered calls AND additional cash-secured puts. This bilateral approach means you generate income whether the stock moves up or down.

Here's how the enhanced strategy works step by step:

1Choose Your Underlying

Select a stock suitable for the wheel strategy. Ideal candidates have liquid options markets, moderate volatility for decent premiums, and fundamentals you're comfortable owning long-term if assigned repeatedly.

2Sell Cash-Secured Put At-The-Money

Open a cash-secured put position at or near the money with upcoming Friday expiration. This generates immediate premium income. You need sufficient buying power to purchase 100 shares at the strike price if assigned.

3Wait for Expiration

Two scenarios can occur at expiration:

  • Expires Worthless: Stock closes above strike, you keep premium, sell another put
  • Expires In-The-Money: Stock closes below strike, you're assigned 100 shares, proceed to Step 4

4Play Both Sides (The Continuous Part)

After acquiring shares, you now execute the strategy's distinctive feature:

  • 4A - Sell Covered Call: Sell call at your cost basis on the 100 shares you own
  • 4B - Sell Cash-Secured Put: Simultaneously sell another at-the-money put

This bilateral approach guarantees one side wins every week. If stock goes up, calls profit. If stock goes down, puts profit. You collect premium regardless of direction.

5Covered Call Expiration

At the next expiration, your covered call faces two scenarios:

  • 5A - Expires Worthless: Stock below strike, sell another call at cost basis, repeat Step 4A
  • 5B - Expires In-The-Money: Stock above strike, shares called away, return to Step 2

6Cash-Secured Put Expiration

Simultaneously, your cash-secured put (from Step 4B) also expires with two scenarios:

  • 6A - Expires Worthless: Stock above strike, sell another put, repeat Step 4B (only if you still own shares from 5A)
  • 6B - Expires In-The-Money: Stock below strike, assigned another 100 shares, lowering overall cost basis, repeat Step 4B

The continuous aspect creates compounding benefits. As puts get assigned, you accumulate more shares. More shares enable selling more covered call contracts. More contracts generate more absolute premium even at the same percentage rates. The strategy builds on itself organically.

Strategy Advantage: Traditional wheel strategy only generates income from one position type at a time. Continuous wheel strategy generates income from BOTH covered calls on owned shares AND cash-secured puts on additional potential shares. This doubles your weekly income opportunities and guarantees one side profits regardless of stock direction.

Why Accurate Cost Basis Tracking is Critical

The continuous wheel strategy's power comes from systematic execution over time. But as positions mature and transactions accumulate, knowing your true cost basis becomes increasingly important—and increasingly difficult without proper tools.

Three Different Cost Basis Calculations

MyATMM tracks three distinct cost basis metrics, each serving a specific purpose:

1. Cost Basis Without Premium

This is your simple dollar cost average based purely on stock purchases. If you bought 100 shares at $46.50 and later bought 100 more shares at $44.50, your cost basis without premium is $45.50 per share.

Use Case: Understanding your capital deployment and raw stock cost before considering income collected.

2. Cost Basis With Premium

This is your true economic cost basis after accounting for all option premium collected. Using the example above, if you collected $168 in premiums across 200 shares, your premium-adjusted cost basis drops to $44.66 per share ($45.50 - $0.84).

Use Case: Determining your true breakeven point for the position and selecting covered call strikes that ensure profitability.

3. Proposed Cost Basis (With Active Puts)

This forward-looking metric shows what your cost basis would become if your currently open cash-secured puts are assigned. If you have a $44.50 put open and it gets assigned, this calculation shows your new blended cost basis across all shares.

Use Case: Evaluating whether accepting assignment at a specific strike makes sense given your overall position goals and future covered call strike selection.

The Compounding Premium Effect

As you execute the continuous wheel strategy week after week, the cumulative premium collected can dramatically lower your true cost basis. In the video example, the trader had collected $977 in total premium on a position with just 100 shares. That premium reduced the effective cost basis from $46.50 to $36.73—nearly a $10 per share reduction.

This compounding effect means that over time, your effective cost basis can approach zero or even go negative. At that point, you're essentially holding shares for free with all the premium collected representing pure profit. Any capital gains from eventually selling shares becomes bonus income on top of the systematic premium collection.

Strike Selection Depends on Accurate Cost Basis

Knowing your premium-adjusted cost basis is essential for covered call strike selection. The goal is selling calls at or above your true cost basis to ensure you profit whether shares are called away or the option expires worthless.

If you only know your simple cost basis ($46.50) but your premium-adjusted cost basis is actually $36.73, you're leaving money on the table by selling calls too far above the money. You could be selling closer-to-the-money calls with higher premiums while still protecting your true economic position.

Cost Basis Truth: Your brokerage statement shows simple cost basis. Your spreadsheet might track premium collected separately. MyATMM integrates everything into one accurate premium-adjusted cost basis calculation that updates automatically with every transaction. This single number tells you exactly where your position stands and what strikes make sense for future trades.

MyATMM Core Features and Workflows

The platform provides two primary interfaces that work together to support the complete option selling workflow: the stock search and analysis page, and the cost basis tracking page.

Stock Search and Analysis

The covered call search page helps identify suitable stocks for the wheel strategy. Filter by various criteria including price range, option liquidity, dividend yield, and volatility. The search results display key metrics needed to evaluate whether a stock makes sense for systematic premium collection.

This analysis function removes the guesswork from stock selection. Rather than browsing random tickers hoping to find good premium opportunities, use systematic filters to surface stocks meeting your specific strategy requirements.

Cost Basis Tracking Dashboard

The cost basis page serves as mission control for managing active positions. Key features include:

Position Summary Panel

Displays at a glance for each ticker:

  • Current share count and market value
  • Total capital invested vs. current position value
  • All three cost basis calculations (simple, premium-adjusted, proposed)
  • Total premium collected over the life of the position
  • Current stock price with last update time

Active Options Tracking

See all currently open covered calls and cash-secured puts with:

  • Contract count, strike price, and expiration date
  • Premium collected when opened
  • Days remaining until expiration
  • Quick action buttons to roll, close, or process assignment

Draft Position System

When selling new options, add them as draft positions to see the proposed impact on your metrics before finalizing. This lets you model different strike prices and see how they would affect your proposed cost basis before committing to trades.

Transaction History Log

The permanent audit trail at the bottom of each ticker's page records:

  • Every option sold (calls and puts) with full details
  • Every assignment and stock purchase/sale
  • All rollovers with closing and opening transaction details
  • Commission and fees for accurate cost basis accounting

This chronological history serves as your complete record of activity. Export this data for tax preparation or review your strategy performance over any time period.

Helper Functions for Quick Entry

Rather than manually typing every transaction detail, MyATMM provides quick-add buttons that populate transaction forms with data from your active positions. Selling a new call on an existing position? Click the "Sell Call" helper, confirm the details, and the transaction records automatically with all the position linkage maintained.

These workflow accelerators reduce data entry time and minimize transcription errors that plague manual spreadsheet tracking.

Platform Design Philosophy: MyATMM doesn't try to be everything for everyone. It focuses exclusively on the specific workflows and calculations that option sellers running wheel strategies need daily. Search for stocks, track positions, log transactions, view accurate cost basis. Everything else is deliberately excluded to maintain simplicity and speed.

Real Platform Walkthrough: MRVL Position Example

The video demonstrates MyATMM's functionality using an actual position on Marvell Technology (MRVL). Walking through this real example illustrates how the platform handles the continuous wheel strategy in practice.

Starting Position Status

The trader had previously sold a cash-secured put on MRVL that was assigned, resulting in the purchase of 100 shares at $46.50. The position summary displayed:

Metric Value
Shares Owned 100
Cost Basis Without Premium $46.50
Cost Basis With Premium $38.41
Total Premium Collected $809
Current Stock Price $44.55

The $8.09 difference between the two cost basis figures ($46.50 vs $38.41) represents the cumulative impact of $809 in collected premiums. This position demonstrates premium collection's power—even though the stock traded below the purchase price, the premium-adjusted cost basis showed a much healthier position.

Implementing Step 4: Playing Both Sides

With 100 shares owned, the trader was now positioned to execute Step 4 of the continuous wheel strategy by selling both a covered call and a cash-secured put.

Adding the Covered Call (Step 4A)

Using the draft position system, the trader added:

  • Type: Sell Call
  • Contracts: 1 (covering the 100 owned shares)
  • Strike: $46.50 (at cost basis without premium)
  • Expiration: Next Friday
  • Premium: $105 ($1.05 per share)

This covered call at the purchase price ensures that if assigned, the shares sell at breakeven (before premium) or profit (after premium). The $1.05 premium represents income collected for providing this upside exposure.

Adding the Cash-Secured Put (Step 4B)

Simultaneously, a cash-secured put was added:

  • Type: Sell Put
  • Contracts: 1
  • Strike: $44.50 (at-the-money given current $44.55 price)
  • Expiration: Next Friday
  • Premium: $63 ($0.63 per share)

This at-the-money put required $4,450 in buying power. If assigned, it would result in purchasing 100 additional shares at $44.50, lowering the overall position's average cost.

Observing the Proposed Cost Basis

With both positions added as drafts, MyATMM calculated the proposed cost basis—what the cost basis would become if the cash-secured put was assigned:

  • Current Cost Basis (100 shares @ $46.50): $46.50
  • If Put Assigned (100 shares @ $44.50): New position: 200 shares
  • Blended Cost Basis: ($4,650 + $4,450) / 200 = $45.50

This $1.00 reduction in cost basis (from $46.50 to $45.50) demonstrates the dollar cost averaging effect of accepting assignment on cash-secured puts. Each assignment at lower strikes progressively reduces your average cost, making future covered calls more profitable as you can sell closer to the money.

Finalizing and Recording Transactions

After reviewing the proposed impact, the trader saved both positions, moving them from drafts to the permanent transaction history. The platform updated all metrics automatically:

Metric Before After
Cost Basis With Premium $38.41 $36.73
Total Premium Collected $809 $977
Proposed Cost Basis $38.41 $36.73

The additional $168 in premium ($105 + $63) further reduced the premium-adjusted cost basis by $1.68 per share. The trader collected this income immediately regardless of what happens at expiration.

Platform Value in Action: Without MyATMM, calculating these impacts requires maintaining complex spreadsheet formulas and manually updating multiple cells for each transaction. With the platform, add the draft positions, review the proposed impact, save the transactions, and every metric updates automatically. The time savings and error prevention become more valuable as positions mature and transaction counts grow.

The Long-Term Vision: Free Stock Through Premium Accumulation

The most powerful aspect of the continuous wheel strategy reveals itself over extended time horizons. As you execute week after week, the cumulative premium collected continues reducing your effective cost basis. Eventually, this can reach zero or even go negative.

What Negative Cost Basis Means

If you've collected more total premium than you've spent purchasing shares, your premium-adjusted cost basis becomes negative. At that point, you effectively own the stock for free—all the money you invested has been returned through premium collection.

From that point forward:

  • Every additional premium dollar is pure profit
  • Any capital gains from selling shares is bonus income
  • Dividend payments (if applicable) add yet another income stream
  • You have zero capital at risk since premiums have returned your entire investment

The Compounding Timeline

How long does reaching negative cost basis take? This depends on several factors:

  • Stock Volatility: Higher volatility generates larger premiums, accelerating timeline
  • Execution Consistency: Missing weeks delays the compounding effect
  • Strike Selection: Closer-to-the-money strikes provide more premium but higher assignment risk
  • Share Count Growth: Accepting put assignments increases covered call capacity, generating more absolute premium

In the MRVL example shown, the trader had collected $977 in premium on what started as a 100-share position (now grown to potentially 200 shares if the put is assigned). With an initial investment of perhaps $4,650 (100 shares at $46.50), the premium has already returned 21% of invested capital in what appears to be several months of trading.

Extrapolating this pace suggests reaching breakeven (premium equals capital invested) within 2-3 years of consistent execution. After that point, every dollar becomes pure profit with zero remaining capital at risk.

Why This Matters for Strategy Selection

Understanding this long-term trajectory changes how you evaluate the continuous wheel strategy. Rather than focusing solely on week-to-week returns, recognize that you're building toward a future state where:

  • Your positions generate income indefinitely without capital at risk
  • Market downturns become opportunities to accumulate more shares at lower cost basis through put assignments
  • Market uptrends generate capital gains when shares are called away above your negative cost basis
  • You can expand to additional tickers using the same systematic approach

MyATMM's cost basis tracking makes this long-term vision concrete. You can watch your premium-adjusted cost basis decline week by week, month by month, knowing exactly how much further you need to go until reaching the breakeven point and beyond.

The Ultimate Goal: The continuous wheel strategy isn't about getting rich quickly through spectacular trades. It's about building systematically toward positions where you own shares for free through cumulative premium collection. MyATMM tracks this journey precisely, showing you exactly how close you are to achieving zero or negative cost basis on each position.

Getting Started With MyATMM

The platform is designed to eliminate barriers to entry. Create a free account and start tracking immediately without payment information or subscription commitments.

Free Account Benefits

The free tier provides full platform functionality for up to 3 tickers. This limitation allows you to:

  • Learn the platform interface with real positions
  • Verify the continuous wheel strategy works for your risk tolerance
  • Develop systematic execution habits on a small set of underlyings
  • Prove the value before committing to paid subscription

Many traders find 3 tickers sufficient for generating meaningful income while maintaining manageable position monitoring requirements. You can trade the continuous wheel strategy successfully with just 2-3 carefully selected stocks.

Paid Subscription for Unlimited Tracking

When you're ready to expand beyond 3 tickers, paid subscriptions unlock unlimited position tracking. The pricing is designed to be accessible—far less than the value created by accurate cost basis tracking and the time saved versus manual spreadsheet maintenance.

Cloud-Based Access Anywhere

MyATMM runs entirely in the browser with all data stored securely in the cloud. This means:

  • Access from desktop computer, laptop, tablet, or phone
  • No software installation or version updates required
  • Data syncs automatically across all devices
  • Check positions while traveling or away from your primary computer
  • Regular automated backups protect against data loss

This accessibility enables managing positions from anywhere with internet connection. Review your cost basis while researching potential trades on your phone, or log weekend transactions from a tablet without needing your trading computer.

First Steps After Creating Account

Once your account is created, recommended first actions include:

  1. Add Your First Ticker: Enter the symbol for a stock you're currently trading or plan to trade
  2. Log Existing Positions: If you have active positions, record them with historical transaction data
  3. Review the Dashboard: Familiarize yourself with how position summaries, cost basis metrics, and transaction history are displayed
  4. Add a Draft Position: Practice adding a new option position as a draft to see how proposed metrics update
  5. Explore Helper Functions: Try the quick-add buttons for selling calls and puts to see how they streamline data entry

The platform is intentionally simple. Most users become comfortable with core workflows within 15-20 minutes of initial exploration.

Start Today: Create your free account at myatmm.com to begin tracking up to 3 tickers with full platform functionality. No credit card required, no time limit, no obligation to upgrade. Experience firsthand how automated cost basis tracking transforms option selling from chaotic spreadsheet management into systematic strategy execution.

Conclusion: The Foundation for Systematic Success

The continuous wheel strategy offers option sellers a systematic path to consistent weekly income with clearly defined rules and repeatable workflows. But executing the strategy successfully over time requires accurate position tracking that spreadsheets simply cannot provide efficiently.

MyATMM bridges this gap with a platform designed specifically for option sellers' needs. Automatic cost basis calculations, integrated transaction history, proposed position modeling, and cloud-based accessibility combine to create infrastructure that makes systematic execution practical and sustainable.

The platform's focus on three different cost basis calculations—simple, premium-adjusted, and proposed—provides the exact metrics needed for intelligent strike selection and position management decisions. Knowing your true economic breakeven point rather than just your purchase price average enables optimal covered call strike selection that maximizes premium while protecting profitability.

The long-term vision enabled by accurate tracking is perhaps most valuable. Watching your premium-adjusted cost basis decline week after week toward zero and eventually negative provides tangible progress metrics that reinforce consistent execution. The goal isn't spectacular single-trade gains but rather methodical accumulation of premium that eventually returns all invested capital and beyond.

The platform was built by an active option seller who experienced the frustrations of spreadsheet tracking firsthand. Rather than creating bloated general-purpose software with features most option sellers never need, MyATMM delivers focused functionality for the specific workflows that matter daily when running wheel strategies.

Whether you're new to the continuous wheel strategy or an experienced practitioner frustrated with inadequate tracking tools, MyATMM provides the infrastructure needed to execute systematically, track accurately, and build toward positions with zero or negative cost basis through cumulative premium collection.

Start with a free account tracking up to 3 tickers. Experience automated cost basis calculations, clean transaction logging, and cloud-based access across all your devices. Transform option selling from spreadsheet chaos into systematic strategy execution with proper tracking infrastructure.

Risk Disclaimer

Options trading involves significant risk and is not suitable for all investors. The continuous wheel strategy described involves selling cash-secured puts that obligate you to purchase shares if assigned, potentially resulting in losses if the stock declines significantly. Covered calls cap upside potential and do not protect against downside risk beyond the premium received.

Past premium collection results do not guarantee future income. Stock prices can decline substantially, creating unrealized losses even when premium collection is factored into cost basis calculations. Achieving zero or negative cost basis through premium collection requires consistent execution over extended periods and is not guaranteed.

MyATMM is a tracking platform only and does not provide investment advice, trade recommendations, or guarantee profitability of any strategy. The platform calculates cost basis based on transaction data you provide but cannot prevent losses from unfavorable market movements.

This content is for educational purposes only. Always consult with a qualified financial advisor before implementing any options trading strategy.

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Original Content by MyATMM Research Team | Published: March 11, 2023 | Educational Use Only