Jan 18, 2014 | Investment Basics, Option Trading Basics, Stock Option Strategies
In our BCI methodology, our covered call writing strategy has several guidelines and one rule. The rule is to never sell a covered call option when there is an upcoming earnings report prior to expiration. Some may ask why not? With the added volatility are our...
Jan 4, 2014 | Covered Call Exit Strategies, Investment Basics, Option Trading Basics, Options Calculations, Stock Option Strategies
The stock option strategies in our BCI methodology are based on years and decades of real-life trading experience. The information detailed in my books and DVDs is geared to giving us the best chance to achieve the highest possible covered call writing returns. This...
Dec 28, 2013 | Investment Basics, Option Trading Basics, Stock Option Strategies
Selling 1-month options is a core principle in the BCI methodology for covered call writing. As interest in stock options has been growing exponentially so have the number and type of options products available. It’s all about supply and demand. Over the past...
Dec 21, 2013 | Covered Call Exit Strategies, Investment Basics, Option Trading Basics, Stock Option Strategies, Technical Analysis
Technical analysis is an integral part of our covered call writing decisions for both stock and option selections. It also impacts our exit strategy decisions. KORS has been a favorite of Blue Collar Investors for quite some time as a frequent member of our Premium...
Dec 14, 2013 | Investment Basics, Option Trading Basics, Options Calculations, Options Trade Execution, Stock Option Strategies
Options Trading Basics includes the fact that one options contract incorporates 100 shares of the underlying security. The right or the obligation is for the purchase or sale of 100 shares of stock or exchange-traded funds. This is the rule but there are exceptions to...
Dec 7, 2013 | Covered Call Exit Strategies, Option Trading Basics, Options Calculations, Stock Investing, Stock Option Strategies
Last week I wrote Part I of an article on portfolio overwriting, a covered call-like strategy for buy and hold portfolios. In today’s article I will walk you through the process of how this strategy can be accomplished. Keep in mind that there are many ways to...