SI
SI
discoversearch

We've detected that you're using an ad content blocking browser plug-in or feature. Ads provide a critical source of revenue to the continued operation of Silicon Investor.  We ask that you disable ad blocking while on Silicon Investor in the best interests of our community.  If you are not using an ad blocker but are still receiving this message, make sure your browser's tracking protection is set to the 'standard' level.
Strategies & Market Trends : The Covered Calls for Dummies Thread
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  
To: LindyBill who wrote (2214)8/26/2001 2:40:51 PM
From: Dan Duchardt  Read Replies (1) of 5205
 
LindyBill,

Normal fluctuation should fill the order in the next week, If it does, I do the same again.

If this strategy works, and you really are able to trade in and out of the options for a 10% move on a weekly basis, you will do a lot better simply trading the QQQ. Figure out how far QQQ has to move for you to clear 10% on whatever strike options you are trading. I think you will see trading QQQ offers greater potential Also, you might consider simply buying options to take advantage of such small moves. If you only buy the number of contracts you would trade as part of a CC, at least long options give you downside protection, so if things go the wrong way in a hurry you can't take a big loss (as compared to buying the same number of shares of stock). If this sounds too risky to you, then what you are proposing is too risky as well. What if you buy back a call at 10% profit and QQQ keeps going down? Are you willing to ride it out all the way?

Dan
Report TOU ViolationShare This Post
 Public ReplyPrvt ReplyMark as Last ReadFilePrevious 10Next 10PreviousNext  

HomeMailHotSubjectMarksPeopleMarksKeepersSettings
Terms Of UseContact UsCopyright/IP PolicyPrivacy PolicyAbout UsFAQAdvertise on SI
© 2026 Knight Sac Media.  Data provided by Twelve Data, Alpha Vantage, and CityFALCON News