Good morning W, I have tried writing CC, and never seem to get it quite right. But for what it is worth, I'll share what I have learned. I like the idea of covering when I think the stock has hit a high point and will drop in its cycle. As I'm sure you know, the trick is to buy them back at the bottom, or let them expire. I have not had a great deal of luck writing CC far out (more than 2 months). However, I find this to be too much work.
The problem with a volatile and ascending stock like Q is you just can't guess where it will end up. But, what you do know it that given enough time, it will go up. This is the capsule, which Voltaire has been explaining.
The successes I have been having over the past 9 months are based on buying options, out about 6-9 months and not writing CC on my Q. The options give me more leverage, requires less precision on the strike price guess, and does not risk my equity. I just sleep better.
Good luck and have a great day,
C- |
