Latest Insights in Stock Market Investing
What is a SPAC (Special Purpose Acquisition Company)?
Are SPACs reliable candidates for our covered call writing and put-selling portfolios? This article will define and explain the anatomy of a SPAC so we can decide if they deserve a place in our conservative option-selling portfolios. SPAC defined This is a...
ASK ALAN #181 How Delta Factors into our Strike Price Selection
Alan answers a question posed by Vinh, who asks: Alan, I am new member. I would like to ask how much Delta to use to enter a covered call trade for in-the-money strikes to get adequate protection. I am looking at AMD trading at $50.10 for the July 17, 2020 contracts....
BCI PODCAST 51 Timing Our Covered Call Trades
Watch Video: Listen To Audio Version: After buying a stock, should we wait for additional share appreciation before selling the option? A real-life example will; be analyzed using FB showing the potential pros and cons of this approach and the possibility of exit...
Should I Roll-Out When My Option is DITM Mid-Contract?
Exit strategy opportunities for covered call writing must be recognized and acted upon when indicated. It is important to understand when and how to react to these situations and determine the best exit strategy, if any. In October 2020, Patrick shared with me a...
BCI PODCAST 50 Exit strategies Must Be Timed Properly
Watch Video: Listen To Audio Version: To become an elite option-seller, we must master the 3-required skills... stock selection, option-selection and position management. With exit strategies, not only do we have to know which ones will enhance the current trade...
Implied Volatility (IV), IV Rank and IV Percentile: Defined and Practical Applications
When writing covered calls and selling cash-secured puts, the implied volatility of the underlying securities is directly related to the premiums we receive and also measures the risk we are taking with our option-selling trades. We protect ourselves from using IVs...
BCI PODCAST 49 Analyzing a Multi Leg Covered Call Rolling Down Series of Trades
Watch Video: Listen To Audio Version: Exit strategies can turn losing trades into profitable ones. This podcast will show a real-life example with NIKE Corp. (NYSE: NKE) where Alan rolled down twice in the latter part of a contract and put cash in his pocket on a...
How to Execute a Covered Call Trade with a Buy/Write Combination Form
Covered call trades can be entered by legging-in (2 separate trades) or via the buy/write combination form (1 net trade). When available, the latter is an effective, and perhaps cheaper, way to execute our covered call trades when the bid-ask spreads of our options...
BCI PODCAST 48 Rolling Deep OTM Cash Secured Puts
Watch Video: Listen To Audio Version: When stock price moves up, put value moves down. After selling an OTM cash-secured put, if share price appreciates significantly, we can close it for a small percentage of the original option sale. This podcast focuses in on...
Podcast
- 126. Analyzing the Status of a Rolling-Down Trade
- 124. Dividends and After-Hours News Causing Exercise of OTM Call Strikes
- 123. Implied Volatility, IV Rank and IV Percentile Defined and Practical Applications
- BCI PODCAST 122: Should I Roll-Out My Deep In-The-Money Call Option Mid-Contract?
- BCI PODCAST 121: What is a SPAC (Special Purpose Acquisition Company)?
- 120. Using the Nasdaq-100 Volatility Index (VOLQ) in Covered Call Writing Decisions
- 119. Establishing Our Cost-Basis for Long-Term Holdings
- 118. Adjusting Our Portfolio Mix to Achieve Diversification and Cash Allocation
- 117. When a Covered Call Strike Moves $1000.00 In-The-Money
- 116. How to Execute a Covered Call Trade with a Buy/Write Combination Form
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Our Journey and Mission
The Blue Collar Investor was founded with a simple mission: to empower everyday individuals with the knowledge to invest wisely in the stock market. Our blog focuses on demystifying stock options, providing readers with the tools they need to succeed. We believe that anyone can learn to invest effectively, regardless of their background or experience.
Our story began when our founder Dr. Alan Ellman, realized the lack of accessible resources for average investors. Determined to bridge this gap, we created a platform that offers comprehensive guides, expert tips, and real-world strategies. Today, The Blue Collar Investor is a trusted resource for thousands of readers seeking to enhance their financial literacy and achieve their investment goals.