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[BCI Podcast] Beginners Corner Lesson 2: Option Basics

Included In This Podcast: General Definitions Covered call writing: An overview The strike price as it relates to the stock price In-the-money At-the-money Out-of-the-money The option premium or how you […]

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The Stochastic Oscillator- A Momentum Technical Indicator

When using the covered call writing strategy, it is critical to select stocks with positive price momentum. This will increase the probability of maximizing our profits. One of the technical […]

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Strike Price Selection- A Critical Covered Call Decision

Covered call writing requires a logical sequence of stock and option decisions. Once we have screened our stocks to locate the greatest performing stocks in the greatest performing industries we […]

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Covered Call Writing: Managing Stocks That Have Gapped Down

Every once in a while, when using our covered call writing strategy a stock will gap up or down. A gap is a break between prices on a chart that occurs […]

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Constructing Your Covered Call Portfolio During Earnings Season

From mid-January to mid-February many of our watch list stocks will be reporting earnings rendering these equities ineligible for covered call writing at least until after the report is announced. This does […]

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Setting Up a Covered Call Portfolio-Diversification and Cash Allocation

A key mission statement in our Blue Collar investment strategy for covered call writing is risk management. An integral component needed to accomplish this goal is diversification and cash allocation. We […]

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Constructing a Covered Call Portfolio Using Select Sector SPDRS

Select Sector SPDRs are unique exchange-traded funds that divide the S&P 500 into nine sector index funds.  They have the diversity of a mutual fund, the focus of a sector fund, and […]

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The Case for 1-Month Options

I sell predominantly one-month options. This decision was NOT based on anything I read or was told, but rather on experience and common sense. Most stocks with options have at […]

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Pump and Dump Scams

I’ll bet that each and every one of you has received an email that went something like this: IMAGINE IF YOU HAD THE CHANCE TO BUY A WAL-MART FRANCHISE IN […]

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Rolling Strategies On Or Near Expiration Friday

With one week remaining before the expiration of the November option contracts I thought I’d use this week’s blog article to review the process of the rolling exit strategies. I […]

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