Covered call writers and put-sellers are always looking for metrics to improve trading results. Recently, we have had several inquiries about adding short-interest to the screening process. Over the years we have enhanced our Premium Member Stock and ETF Reports based on feedback we have received from you, our members. For example, we added ex-dividend […]
Using Beta To Capture Higher Premium Returns
When using covered call writing and put-selling strategies it is important to set goals for initial returns in order to select the most appropriate underlying security and option. My goal for initial returns is 2% – 4% per month and a bit higher in a bull market environment. Recently, several of our members have contacted […]
Combining Technical Analysis And Market Assessment To Determine Strike Selection
Mastering stock and strike price selection are key components in successful covered call writing. There is no one factor that will dictate our choices but rather a mosaic of bits of information which will lead us to the best selections. In this article, I will discuss two of those critical components: technical analysis of the […]
Technical Analysis and Covered Call Decisions: Looking Back At KORS
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 Stock List. For the week of September 16th through the […]
MACD Histogram: A Lagging and Momentum Technical Indicator: Part II
Technical analysis is an integral part of mastering covered call writing. This week’s article is a follow-up to an article posted on October 19th. In this week’s column I will discuss the MACD histogram which represents the difference between the MACD indicator and its trigger, the 9-d EMA (exponential moving average). It is plotted in […]
MACD: A Lagging and Momentum Technical Indicator: Part I
Technical analysis is as much an art as it is a science. No one parameter, by itself, will allow us to make our buy/sell decisions. However, when all the indicators are used together, they paint a picture that is critical to maximizing our covered call success. A review of these indicators periodically can be a […]
Why Use Technical Analysis: An Example Of A Complete Technical Breakdown
Technical analysis or fundamental analysis…which should we use in the stock selection process for covered call writing? Many sophisticated investors can make an impressive argument for one or the other. I say why not use both? As most of you know, in the BCI methodology we use actually three types of screens: fundamental analysis, technical […]
Setting Up A Technical Chart + An Example Of An Ideal Chart
Technical analysis is the method of predicting future stock price movements based on observation of historical stock price movements. It is an essential tool in the armamentarium of covered call writers, and critical in achieving maximum success. We use technical analysis in our stock selection process, buy/sell decisions, strike price selections and exit strategy determinations. […]
Binary Options Are The Latest Rage, But Barely Like Traditional Options by Guest Author Tom Cleveland
Over the past few years, the popularity of traditional options has grown exponentially, as investors have been more willing to experiment with a broader set of investment genres. The market has responded to this more expansive behavior by creating a myriad of new products such as “weeklys” and “minis”, topics Alan has addressed on this […]
Technical Analysis: Bar Charts vs. Candlestick Charts
Technical analysis is a key component to our stock selection process as well as our buy-sell decisions. One of the first choices we need to make is the format of the price chart. Sometimes that decision is difficult if presented with several outstanding options. For example, you’re offered a choice of two tickets to one […]
Podcast
- 104. Special 1 Time Dividends and Contract Adjustments
- 103. The Collar Strategy Using Long-Term Put Expirations
- 102. Analyzing Market Assessment Based on Portfolio Setup
- 101. Covered Call Writing: "Hitting a Double" on the Last day of a Contract
- 100. Analyzing LEAPS for The Poor Man's Covered call Strategy (PMCC)
- 99. Anatomy of a Reverse Stock Split
- 98. Analyzing LEAPS Options for the Poor Man's Covered Call
- 97. Managing Our Poor Man's Covered Call Trades When Share Price Drops Substantially
- 96. Protecting Our Covered Call Trades: Protective Puts and In-the-Money Strikes
- 95. Covered Call Writing to Generate Premium and Dividend Income
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