Calculating Covered Call Trades that are Converted to Collar Trades

Calculating Covered Call Trades that are Converted to Collar Trades

click ↑ 4 Featured What is a Collar Trade? The collar strategy consists of 3 legs: Buy stock (long position) Sell an out-of-the-money (OTM) call option (short call- ceiling) Buy an out-of-the-money protective put (long put- floor) Since a protective put debit is added...
Doubling Our Maximum Covered Call Returns Using the Mid-Contract Unwind (MCU) Exit Strategy

Doubling Our Maximum Covered Call Returns Using the Mid-Contract Unwind (MCU) Exit Strategy

click ↑ 4 Featured Our covered call writing trades offer 2 income streams when using out-of-the-money (OTM) call strikes. (Make that 3, if we incorporate dividends into the strategy). These consist of option premium + share appreciation from current market value up...
Generating Greater Than Maximum Returns Using Exit Strategies

Generating Greater Than Maximum Returns Using Exit Strategies

click ↑ 4 Featured Blue Collar Investors know that there are times we shouldn’t “settle” for maximum returns. In this article, a successful covered call trade with QQQM (an exchange-traded fund or ETF) will be analyzed, detailing how a maximum return...