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Tag Archives: in-the-money strikes
Covered call writing in bear and volatile markets

Emergency Management Report: Dealing with Volatile and Bearish Markets

With the stock market declining over 5% in the past month as a result of geo-political and global concerns exacerbated by the fears of an Ebola epidemic we find ourselves […]

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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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in-the-money and at-the-money strike prices

Deep In-The-Money Strikes: A Can’t Lose Strategy?

Covered call writing is a strategy we use to generate consistent monthly cash flow, re-invest profits and ultimately to become financially independent. We strive to beat the market by using […]

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Calculating covered call writing returns

Selecting A Specific Strike Price For Our Covered Call Positions

We must master strike price selection to maximize our covered call writing returns. In our BCI methodology, strike price selection is ultimately determined after our careful stock screening analysis and […]

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Calculating covered call writing returns

Analyzing The Time Value Of In-The-Money Strikes

Maximizing covered call writing profits requires us to master strike price selection. Very few covered call writers outside the BCI community use in-the-money strikes and, as a result, do not […]

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Entering Our Covered Call Positions Mid-Contract

In the BCI methodology for covered call writing we use predominantly 1-month options. There are times, however, where we find cash in our accounts (mid-contract) that is inactive. This may […]

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Covered Call Writing: Factors That Affect The Value Of Our Option Premiums

So you sold an options contract for $380 and generated a 3.5% 1-month return. Did you ever wonder how the market determined the value of that options contract to be […]

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The Show or Fill Rule- More Cash for Us! plus a Spreadsheet for I-T-M Strikes

When David did battle with Goliath, he used the leverage of his slingshot to overcome overwhelming odds. In much the same way we, as Blue Collar Investors, must use every […]

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