When to use
If you firmly believe the market is not going up.  Sell out-of-the-money (higher strike) options if you are only somewhat convinced; sell at-the-money option if you are very confident the market will stagnate or fall.   If you doubt the market will stagnate, sell in-the-money options for maximum profit.

Profit Characteristics
Profit limited to premium received.  At expiration, break-even is exercise price A + premium received.  Maximum profit realized if market settles at or below A.

Loss Characteristics
Loss increases as market rises.  At expiration, losses increase by one point for each point market is above break-even.  Because risk is open-ended, position must be watched closely.

Decay Characteristics
Positions are a growing asset.  As time passes, value of position increases as option loses its time value.  Maximum rate of increasing profits occurs if the option is at-the-money.

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