Tag: covered call

How to Use Poor Man’s Covered Calls on Lower-Priced Stocks


Poor Man’s Covered Calls  A few months ago I discussed the benefits of selling covered calls for monthly income. And while I am a huge proponent of using covered calls, my preference, particularly when dealing with higher-priced securities, is to use a strategy known as the poor man’s covered call strategy. A poor man’s covered call… Read more »

Trade Idea: Poor Man’s Covered Call in Cameco (CCJ)


After years in the doldrums, uranium has recently caught the attention of investors. Last week uranium stalwart, Cameco (CCJ) pushed 24.2% higher, thanks to the overwhelming demand for not only the stock, but for call options as well. Here is one example of how I would initiate a position in Cameco using a poor man’s… Read more »

How a Covered Strangle Can Greatly Enhance Your Return


How a Covered Strangle Can Greatly Enhance Your Return Several weeks ago, I wrote about short strangles and how they offer investors one of the highest-probability strategies on the market. If managed correctly, short strangles are an incredible strategy. But the capital required can be steep, so most investors shy away. Plus, the thought of… Read more »

Income Strategy Series: Selling Covered Calls for Monthly Income


Selling Covered Calls for Monthly Income Investors are constantly seeking the holy grail of income strategies and while one doesn’t exist, selling covered calls and poor man’s covered calls for monthly income might be the closest we have, as investors, to the perfect income strategy. Today, I’m going to focus on selling covered calls for… Read more »