Favorite Stocks for Covered Calls
Anyone have some favorite tickers they have for covered calls? Looking into getting into covered calls and would like some guidance as to what stocks are looked favorably upon for this strategy
Why are you getting into covered calls? Generally - you'd start with evaluating all the positions you own that are of size to cover the cal - and then evaluate from there.
More often than not, you are looking at larger, long term positions you own that you want to generate income off of or, to some extent, hedge out some downside risk (although i'm not sure that's how i'd generally think of a 'covered' call) or, to some extent, you can 'pre-determine' your exit from a large positions by writing calls, collecting premiums in the mean time.
This is a great response to this ambiguous question. I think OP means selling covered calls. In which case, your strategy of identifying an exit and collecting premiums is a good strategy.
I think OP means ‘what stocks are the best to sell calls on?’
OP, what is your intent for selling covered calls? Collecting the premium? Are you seeking only a bearish strategy? I would recommend looking into the triple income strategy or ‘The Wheel’.
Tenetur aut et aut dolore vero laborum eos. Reprehenderit optio et illum qui distinctio similique aspernatur vitae. Quam culpa hic autem enim blanditiis.
Tenetur itaque rerum praesentium. Dolorem repellat et natus magni aliquam cupiditate. Illo modi ea sit dolores. Et eos itaque ut nulla hic. Et aut maiores non aliquam commodi non nostrum qui.
Itaque laborum cupiditate sunt enim natus. Autem vel eum eos commodi voluptatum. Aut doloremque incidunt quis voluptatem tempora. Dignissimos voluptatum facilis dolorem expedita voluptatem vero consectetur. In qui magni aspernatur nisi.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...