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put-selling calculations and strike price selection

“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 […]

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maximizing covered call returns using theta

How To Maximize Covered Call Writing Returns By Understanding Time Value and Theta

Mastering the concepts of the time value of our option premiums and how theta impacts our option profits will help elevate our returns to the highest possible levels. Let’s first […]

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Covered call writing and the Ellman Calculator

Expanded Weekly Options: When Should We Enter A Trade?

With the rising popularity of stock option strategies and covered call writing in particular, we have seen the creation of more option products like weekly stock options. Weeklys expire each […]

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covered call writing exit strategies and contract adjustments

Rolling Down And Stock Splits: A Real Life Example

Covered call writing positions can be altered by exit strategies or contract adjustments. Contract adjustments are alterations that are typically made to option contracts when the underlying stock undergoes a […]

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Covered call writing calculations

Calculating Future Returns Using Delta

Understanding option calculations is an integral part of the BCI methodology. Using the Ellman Calculators (Basic and Elite versions) will facilitate the process but knowing the “how” and “why” of […]

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covered calls versus covered puts

Covered Puts Versus Covered Calls

Covered call writing is the main focus of this site and the BCI methodology. Based on member demand and similarity of strategies we have been adding information on selling cash-secured […]

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covered call writing and the Ellman Calculator

Writing Covered Calls On Broad Market Exchange-Traded Funds

The initial main step for covered call writers is to select the best underlying security. This choice will vary from investor to investor based on goals and risk tolerance. Some […]

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calculating covered call writing returns using the Ellman Calculator

Calculating 2-Month Returns When Rolling Out And Up

Options calculations will give us an accurate assessment of our covered call writing profits. It’s more meaningful to use percentages rather than dollar amounts when executing these calculations. For example, […]

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covered call writing and option calculations

Ellman Calculator: Enhancements Made In The 2014 Version

Options calculations are an integral part of our BCI methodology both in guiding us in making the best investment decisions and also in determining our trading success. To assist in […]

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covered call writing and option value

Am I Losing Money When Option Value Increases After Entering A Covered Call Position?

The risk in covered call writing is in the stock purchased not in the option sold. Sound familiar? It’s in all my books and DVD Programs and mentioned in my […]

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