Tag: Option Trading

  • How to Find the Right Covered Call Advisor

    How to Find the Right Covered Call Advisor

    Stocks, bonds, and funds are the most popular securities for investors to achieve their financial goals. For example, target-date retirement funds provide an easy way to balance growth, risk, and…

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  • What Is a Poor Man’s Covered Call?

    What Is a Poor Man’s Covered Call?

    Covered calls are a popular way to generate an income from stock options, but they require a potentially large upfront investment in the underlying stock. While such an investment isn’t…

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  • How the Wheel Option Strategy Works

    How the Wheel Option Strategy Works

    There are many different options strategies designed to generate an income. While covered calls are the most popular, traders may also use iron condors, butterfly spreads, diagonal spreads or calendar…

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  • How to Roll a Covered Call

    How to Roll a Covered Call

    The stock market is inherently unpredictable and even low-risk strategies can be ruined by new information. For example, covered calls provide a convenient way to boost portfolio income, but there…

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  • How Option Greeks Affect Covered Calls

    How Option Greeks Affect Covered Calls

    The concept of a stock option is fairly straightforward: It provides the right or obligation to buy or sell a stock at a specified time and price. Of course, the…

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  • Generate an Income from Credit Spreads

    Generate an Income from Credit Spreads

    Income investing is popular among investors in or approaching retirement, but there are few good choices during periods of record-low interest rates. Exchange-traded options provide an easy way to generate…

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  • How to Construct a Collar Option

    How to Construct a Collar Option

    Covered calls are a popular way to generate income from an existing stock position, but they aren’t the best choice for every situation. For instance, covered calls have significant downside…

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  • Buying Protection with  a Married Put

    Buying Protection with a Married Put

    The stock market is known for rising during both times of euphoria and fear. For instance, the stock market hit record highs during the COVID-19 pandemic despite extremely high levels…

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  • How Dividends Impact Option Pricing

    How Dividends Impact Option Pricing

    Dividend stocks are a popular way to generate income, but they also impact several other investment strategies. For example, dividends impact option pricing. Let’s say that an investor that’s selling…

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  • Can I Trade Options on an Index

    Can I Trade Options on an Index

    Passive investing has exploded in recent years. Investing in broad-market indexes has surged in popularity and costs less than ever before. You can take this approach to the next level…

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