Comments on: Trade School: Covered Calls http://www.fulldisclosurefinance.com/2008/04/07/trade-school-covered-calls/ An unscripted look into our investing journey Fri, 15 Jan 2010 10:49:46 +0000 http://wordpress.org/?v=2.9.2 hourly 1 By: Carly http://www.fulldisclosurefinance.com/2008/04/07/trade-school-covered-calls/comment-page-1/#comment-2846 Carly Wed, 29 Oct 2008 04:43:43 +0000 http://www.fulldisclosurefinance.com/2008/04/07/trade-school-covered-calls/#comment-2846 Well said. Well said.

]]> By: Options Explained on Blue Moat http://www.fulldisclosurefinance.com/2008/04/07/trade-school-covered-calls/comment-page-1/#comment-124 Options Explained on Blue Moat Tue, 29 Apr 2008 01:22:38 +0000 http://www.fulldisclosurefinance.com/2008/04/07/trade-school-covered-calls/#comment-124 [...] specific question that I had was related to the covered calls strategy that I wrote about recently. My understanding was that the only way to exit the contract was to let [...] [...] specific question that I had was related to the covered calls strategy that I wrote about recently. My understanding was that the only way to exit the contract was to let [...]

]]> By: Jeffrey McLarty http://www.fulldisclosurefinance.com/2008/04/07/trade-school-covered-calls/comment-page-1/#comment-118 Jeffrey McLarty Tue, 22 Apr 2008 06:21:35 +0000 http://www.fulldisclosurefinance.com/2008/04/07/trade-school-covered-calls/#comment-118 No problem, I decided to blog the answer, and more. http://blog.bluemoat.com/?p=202 In brief, you don't have to wait until expiry, to cover your short derivative sale. You can close the position buy buying it back - anytime. No problem, I decided to blog the answer, and more.

http://blog.bluemoat.com/?p=202

In brief, you don’t have to wait until expiry, to cover your short derivative sale. You can close the position buy buying it back – anytime.

]]> By: Andrew http://www.fulldisclosurefinance.com/2008/04/07/trade-school-covered-calls/comment-page-1/#comment-117 Andrew Tue, 22 Apr 2008 00:21:44 +0000 http://www.fulldisclosurefinance.com/2008/04/07/trade-school-covered-calls/#comment-117 Jeff...I'm new to this strategy maybe you can help me understand better. What do you mean when you say that you buy the contracts back? I thought that the only way to close out the trade was to let the contract expire. Can you clear this up for me and our readers? Thanks Jeff. Jeff…I’m new to this strategy maybe you can help me understand better. What do you mean when you say that you buy the contracts back? I thought that the only way to close out the trade was to let the contract expire. Can you clear this up for me and our readers? Thanks Jeff.

]]> By: Jeffrey McLarty http://www.fulldisclosurefinance.com/2008/04/07/trade-school-covered-calls/comment-page-1/#comment-112 Jeffrey McLarty Tue, 15 Apr 2008 02:37:41 +0000 http://www.fulldisclosurefinance.com/2008/04/07/trade-school-covered-calls/#comment-112 Big fan of this strategy, and big fan of the people who see the value in it. :) I got several real-world examples, here's one: I've owned JCI, stock has almost been flat YoY, but I've taken almost 16% in call premium - just selling at what I think are local peaks, and buying 'em back whenever I feel like it. My own observation: I buy the contracts back way too soon - almost 90% of the time. The people that go long the contracts seriously fight an up-hill battle. Big fan of this strategy, and big fan of the people who see the value in it. :)

I got several real-world examples, here’s one: I’ve owned JCI, stock has almost been flat YoY, but I’ve taken almost 16% in call premium – just selling at what I think are local peaks, and buying ‘em back whenever I feel like it.

My own observation: I buy the contracts back way too soon – almost 90% of the time. The people that go long the contracts seriously fight an up-hill battle.

]]> By: Cat http://www.fulldisclosurefinance.com/2008/04/07/trade-school-covered-calls/comment-page-1/#comment-109 Cat Wed, 09 Apr 2008 15:52:12 +0000 http://www.fulldisclosurefinance.com/2008/04/07/trade-school-covered-calls/#comment-109 I liked this one, well written. I think I understand it which is half the battle. I liked this one, well written. I think I understand it which is half the battle.

]]>