Strike Selection After Rolling-Out Our Portfolio Overwriting Trades

Strike Selection After Rolling-Out Our Portfolio Overwriting Trades

Nov 8, 2025 | Exit Strategies, Fundamental Analysis, Investment Basics, Option Trading Basics, Options Calculations, Options Trade Execution, Stock Option Strategies

click ↑ 4 Featured Portfolio overwriting is a covered call writing-like trading strategy. There are 2 distinctly defined goals: generating cash flow + retention underlying shares. Since deep out-of-the-money (OTM) strikes are used to align with the goal of share...
Calculating Multiple Call & Put Trades with the Same Stock in 2 Expiration Cycles

Calculating Multiple Call & Put Trades with the Same Stock in 2 Expiration Cycles

Oct 11, 2025 | Exit Strategies, Investment Basics, Option Trading Basics, Options Calculations, Options Trade Execution, Put-selling, Stock Option Strategies

click ↑ 4 Featured Calculating our covered call writing and cash-secured put trades can range anywhere from really simple to way too complicated. In this article, an example of the latter will be analyzed. Thanks to our BCI Trade Management Calculator (TMC), these...
Can We Generate Significant Returns with a Defensive 4-Day Cash-Secured Put Trade?

Can We Generate Significant Returns with a Defensive 4-Day Cash-Secured Put Trade?

Aug 21, 2025 | Exit Strategies, Investment Basics, Option Trading Basics, Options Calculations, Options Trade Execution, Put-selling, Stock Option Strategies

click ↑ 4 Featured In bear and volatile markets, our cash-secured put trades (covered calls too) should be structured in a defensive manner. Greater protection to the downside typically means lower returns. That’s the tradeoff. We may opt for weekly trades which...
Using Bitcoin to Create a Low-Risk, High Initial Return Cash-Secured Put Trade

Using Bitcoin to Create a Low-Risk, High Initial Return Cash-Secured Put Trade

Jul 19, 2025 | Exchange-Traded Funds, Exit Strategies, Investment Basics, Option Trading Basics, Options Calculations, Options Trade Execution, Put-selling, Stock Option Strategies

click ↑ 4 Featured The most well-known form of cryptocurrency is Bitcoin. I am frequently asked about the use of crypto with our covered call and cash-secured put trades. In this article, a 1-week cash-secured put trade is analyzed, using Bitcoin, to construct a...
In 54-Days, My Stock Was Up $0.71/Share, but I Made $7.66/Share with Options

In 54-Days, My Stock Was Up $0.71/Share, but I Made $7.66/Share with Options

Jun 21, 2025 | Covered Call Exit Strategies, Exit Strategies, Investment Basics, Option Trading Basics, Options Calculations, Options Trade Execution, Stock Option Strategies

click ↑ 4 Featured Selling covered calls and cash-secured puts lower our cost-basis and places us in a position to significantly beat the market. Mastering stock selection, option selection and position management are essential in achieving the highest levels of...
What is Covered Call Writing Time-Value Cost-To-Close?

What is Covered Call Writing Time-Value Cost-To-Close?

Apr 12, 2025 | Covered Call Exit Strategies, Exit Strategies, Investment Basics, Option Trading Basics, Options Calculations, Options Trade Execution, Stock Option Strategies

click ↑ 4 Featured The success of our covered call writing trades is, to a great extent, dependent on our position management skill set. One of the strategies in our exit strategy arsenal is the mid-contract unwind exit strategy (MCU). WE may close both legs of the...