Latest Insights in Stock Market Investing
Closing Our Entire Covered Call Position When Share Price Rises: The Mid-Contract Unwind Exit Strategy
Exit strategies or position management is one of the three major components of this strategy we must master to become elite covered call writers. The other two are stock (or ETF) and option selection. In my books and DVDs I mostly focus on scenarios that can result in...
What I wish for you
Covered call writing has played a major role in allowing me to do the things I want to do when I want to do them. I have been able to devote time to family, friends and my extended family, the BCI community, which I wouldn’t have had the opportunity if not for...
Evaluating Brokerages And Comparing Their Commissions
Options trade executions include a discussion of the levels of trading approval needed to use various options strategies. You will recall that these defined levels will vary slightly from one brokerage to another. Here is a chart reviewing a sample of these trading...
Emergency Management Report: Dealing with Volatile and Bearish Markets
With the stock market declining over 5% in the past month as a result of geo-political and global concerns exacerbated by the fears of an Ebola epidemic we find ourselves in a position that may lead to “panic” in our investment decisions. The stock market seemed to...
Options Clearing Corporation: Guaranteeing Our Options Trades
Covered call writing and selling cash-secured puts involves investing our hard-earned money. Did you ever wonder who guarantees these trades? It's not our broker or even our broker's clearing firm. It's the Options Clearing Corporation or the OCC. This is an...
“Moneyness” Of Call And Put Options: Understanding Strike Prices
Strike price selection is such a key part of options trading basics and options calculations. There are 3 types of strike prices for both put and call options: in-the-money, at-the-money (and the closely related near-the-money) and out-of-the-money. Moneyness tells...
Should I Enter My Trades On Expiration Friday Or The Following Monday?
The timing of our option trade executions will impact the success of our covered call writing returns. The BCI methodology prides itself on having rules and guidelines for buying back options, re-selling options and selling long stock positions. One question that many...
Why Covered Call ETFs Under-Perform
With the popularity of covered call writing and selling cash-secured puts growing in popularity, we have witnessed the creation of new exchange-traded funds based on these strategies. Over the last few years I have not been a proponent of these securities mainly...
Index Options And Exchange-Traded Funds Options: A Comparison
Writers of covered calls and cash-secured puts use stocks or exchange-traded funds as the underlying securities. It is the value of these securities that give value to our option premiums. For example, we will buy back an option when share price moves down causing the...
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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.