Tag: Calls
You Should Never Trade Options If You Don’t Know This…
Have you ever heard someone say “90% of people that trade options lose money.”? I certainly have. Looking at an options chain can be a dizzying exercise for the uninformed. Delta, Gamma, Theta, Rho, Vega – and let’s not forget – implied volatility? Single, spread, butterfly, condor. What does it all mean? SO WHAT IS […]
Options Trading: Understanding Put-Call Parity
If I had a nickel for every time someone told me they love covered calls for their conservative income generation, but would never sell a naked put because that’s too risky, I could retire from trading. The fact is a covered call is exactly the same, in terms of both risk and reward, of selling a […]
An Easy Covered Call Shows How Powerful This Trade Can Be
Greetings from the Las Vegas MoneyShow! This event is always one of my favorites to speak at every year. It’s a great place to meet with other options traders or traders who are looking to learn how to start using options. This year I’m presenting primarily about overwriting (selling options in conjunction with owning stocks) […]
Using Covered Calls To Increase Your Return In Twitter
I’ve just returned from the Orlando MoneyShow and was very impressed at the amount of investors and traders looking to learn more about options strategies. I had the opportunity to deliver two different presentations to the options-oriented folks. One of the topics I spent quite a lot of time on was covered calls. Of course, […]
Options: 3 Approaches To A Double-Edged Sword
Anyone that buys (or sells) an option contract is by definition employing leverage. I think too many people get enamored by the notion that an option allows one to “control” or confers the rights (or obligation) to 100 shares for a fraction of the price of owning the underlying security. The first thing to remember […]
