Aug 30, 2025 | Fundamental Analysis, Investment Basics, Options Calculations, Options Trade Execution, Stock Option Strategies
click ↑ 4 Featured When analyzing the risk of our covered call writing or cash-secured put trades, we typically are referring to the exposure of losing capital. However, there is also the risk of exercise, which we may want to avoid. In the case of calls, it is the...
Jun 28, 2025 | Fundamental Analysis, Investment Basics, Option Trading Basics, Options Calculations, Options Trade Execution, Put-selling, Stock Option Strategies
click ↑ 4 Featured Delta is one of the option Greeks. These are mathematical factors that estimate the risk of stock options. We can take advantage of Delta stats when establishing our covered call and put-selling trades. 3 Definitions of Delta Delta is the amount an...
Jun 7, 2025 | Fundamental Analysis, Investment Basics, Option Trading Basics, Options Calculations, Options Trade Execution, Put-selling, Stock Option Strategies
click ↑ 4 Featured Cash-secured put trades can be crafted to be traditional, aggressive or defensive, depending on the degree the put strike is out-of-the-money (OTM). In our BCI methodology, we almost always use OTM put strikes. This article will analyze a weekly...
May 31, 2025 | Covered Call Exit Strategies, Fundamental Analysis, Investment Basics, Option Trading Basics, Options Calculations, Options Trade Execution, Stock Option Strategies
click ↑ 4 Featured Each week, BCI provides our premium members with a sample covered call writing or cash-secured put trade taken from one of Alan’s portfolios or from that of a member. These trades are all selected from the BCI premium member reports. In this...
May 24, 2025 | Fundamental Analysis, Investment Basics, Option Trading Basics, Options Calculations, Options Trade Execution, Stock Option Strategies
click ↑ 4 Featured When we sell multiple covered call or cash-secured put contracts, we can use numerous strikes to enhance the diversification process. In this article, I will use a real-life example taken from one of my option portfolios, where I used 2 different...
May 17, 2025 | Fundamental Analysis, Investment Basics, Option Trading Basics, Options Calculations, Options Trade Execution, Stock Option Strategies
click ↑ 4 Featured A covered call writing strategy commonly used by hedge funds involves using ITM covered call strikes which expire immediately after an ex-dividend date. This may be appropriate only if share retention is not an integral requirement of the strategy....
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