With expiration Friday and earnings season fast approaching our common sense principles (see chapter 8 of my latest book) become even more important. Never sell a covered call option with an upcoming earnings report is a critical BCI rule. But what if you own a stock and love it! Hopefully, your admiration for the stock [...]
Trading Decisions- A Real Life Example
Recently, a BCI member sent me an email describing a series of trades he made with GMCR. After responding to his inquiries I realized that there was a great learning lesson here that could benefit many others as well. With his permission I present the key parts of this email: _______________________________________________________________________________ Hi Alan , I have [...]
“Hitting a Double”- A Bullish Mid-Contract Exit Strategy
Can you tell that I’m a baseball fan? I originally coined this phrase when I was teaching myself this strategy and then used it in my initial seminars. Most of my audience related to it and enjoyed hearing it so I kept it for my books and DVDs. When we “hit a double,” we buy back the option (buy-to-close) [...]
