The COMPLETE Guide to Managing Covered Calls 💰 Want to generate income from stocks you already own? Covered calls are a game-changer. BUT… managing them properly is the key to maximizing profits. Here’s EVERYTHING you need to know, step by step. Let’s break it down 👇🧵
1️⃣ What is a Covered Call? It’s simple: ✅ Own 100 shares of a stock 📈 ✅ Sell a call option on those shares 💰 You get paid a premium upfront, but… If the stock 🚀 past your strike price, you might have to sell your shares.
@CPSellsOptions Connor this is a GREAT write up bro. 🤝
@CPSellsOptions Fantastic break down Connor @alexthegoodlife Great thread for covered calls
@CPSellsOptions Once again man, great thread
@CPSellsOptions Yessir an part of the options selling strategy...good job unpacking it for us!
@CPSellsOptions Awesome thread Connor, seen you before but going to give your page some more love! 🙌🏼 @DividendRoots check this thread out
@CPSellsOptions Connor, you have to stop. My brain can only absorb so much knowledge everyday, you're overloading me!
@CPSellsOptions Excellent thread. Do you take in to account IV? Do you prefer to sell on Fridays and at what time of the day? how many days out do you go?
@CPSellsOptions Great post as always! If you have a sizeable underlying position and want to sell calls on it, do you sell the calls all at once? Stagger them over time with different strikes/DTE? Look at TA (eg. only sell in upper band of linear regression channel?
@CPSellsOptions When the call strike breaches. Remember it is a "high class problem" to have (as Sosnoff would say, I think)
@CPSellsOptions What if the share price dips too much and you can hardly get any premium for a price above your avg cost? Would you sell CC’s under your cost basis?