It's mentioned so often it hardly needs to be said again, but sell limited risk premium and have an exit plan. Prayer is over rated, and naked puts require lots of faith. If you can accept the mark to market losses, then go ahead and sell far otm premium.
Yup, I covered because like you fellow member mentioned, it's gonna be damn bored with that position for next three months..... Thanks for all the posts to this thread, really appreciate it!
Here is your *real* question: "I am trying something, and don't know what I am doing. What should I do?" You should not put on a position until you have a **trading plan**. For example: 1. I take profit when I achieve a yield of 15% on my risk for the trade. 2. I cover the trade when my loss is 20% of the risk. 3. I adjust the trade when the delta increases to.... etc. See, for example, the webinars on CBOE.com by Dan Sheridan. You might look at the one on credit spreads.