A "campaign" in wheel strategy terminology refers to the full lifecycle of a trade on a single underlying stock. It begins with selling the first cash-secured put and ends when the shares are eventually called away via a covered call (or when you manually close the entire position).
A campaign encompasses all the premiums collected from CSPs, all premiums from CCs, any dividends received, and the final capital gain or loss from the share assignment. The total net profit of the campaign is calculated from all of these combined cash flows relative to your original capital deployed.
Campaign Duration: A typical wheel campaign might last 1-6 months depending on how quickly the CSP gets assigned and how many CC cycles are needed before the shares are called away. Longer campaigns on declining stocks can extend well beyond 6 months if the trader is rolling and waiting for recovery.
Examples of Campaign (Wheel Strategy Campaign) in Action
- 1A 3-month AAPL campaign: sell CSP → assigned at $170 → sell 4 weekly CCs collecting $1.50 each → called away at $175. Total profit: $3.50 + $6.00 + $5.00 = $14.50/share or $1,450 on 100 shares.
- 2A 6-month AMD campaign that started with a CSP, got assigned during a dip, required 12 CC cycles at $0.50 each, and was eventually called away at break-even — still profitable purely from $6.00 in collected premiums.