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How Our Covered Call Trades are Impacted When Regular and Special 1-Time Cash Dividends Come on the Same Day

The parameters of our covered call trades are often changed when certain corporate events result in option contract adjustments. These events include stock splits, mergers & acquisitions as well as […]

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Review of Dividend Dates & Their Impact on Our Covered Call Trades

The main reason for early exercise of our covered call writing options relates to corporate dividends. The key date to be aware of is the ex-dividend date. This article will […]

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Comparing Nasdaq 100 ETFs: Real-Life Examples with QQQ & QQQM

Over the years, the most frequently used ETF in my portfolios has been Invesco QQQ Trust (Nasdaq: QQQ). Premium members have noticed that, lately, a relatively new eligible security in […]

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What is a Delta-Neutral Portfolio?: A Real-Life Example With InMode Ltd. (Nasdaq: INMD) + Free Webinar Registration Links

Many portfolio managers will seek Delta-neutral portfolios to mitigate directional or market risk. This article will explain how these experts calculate their positions to achieve this goal. To simplify the […]

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Understanding 1-Time Special Cash Dividends and Our Current Trade Status: A Real-Life Example with OMF

Contract adjustments will change the parameters of our covered call writing and put-selling trades but will not result in any trade loss or gain. The Options Clearing Corporation (OCC) will […]

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Comparing Implied Volatility and Delta When Establishing Projected Trading Ranges During Our Option Contracts

In 2020, BCI developed 2 ultra-low-risk option strategies, one using implied volatility and the other using Delta to establish low- and high-end trading ranges during our covered call writing and […]

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Holding a Stock Through an Earnings Report Can Result in Impressive Returns: A Real-Life Example with Crocs, Inc. (Nasdaq: CROX)

One of the golden rules of the BCI methodology is never to sell an option (call or put) when there is an earnings report due out prior to contract expiration. […]

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Should Good News Discourage Us From Entering a Covered Call Trade?

We examine the BCI Premium Stock Report on the Sunday May 23, 2021, after expiration Friday, for our Monday trade selections. One of the securities we choose is Applied Materials, […]

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Best Technology ETFs for Our Option-Selling Portfolios: QQQ and XLK

When seeking to add a technology presence to our covered call writing and put-selling portfolios, we can do so by using exchange-traded funds (ETFs) based on technology benchmarks. Two such […]

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Using Delta to Create Low-Risk/ High-Return Put-Selling Trades: A Real-Life Example with ETSY, Inc. (NASDAQ: ETSY)

When selling cash-secured puts, our strikes are selected based on our initial time-value return goal range and personal risk-tolerance. In the BCI methodology, we use only out-of-the-money (OTM) cash-secured puts […]

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