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Strategies & Market Trends : How To Write Covered Calls - An Ongoing Real Case Study!

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To: Vol who wrote (7893)7/18/1998 5:17:00 PM
From: Joe Waynick  Read Replies (1) of 14162
 
Volunteer writes:

>>> How can we systematically screen for optionable stocks that
have has a much better probability of remaining stable or going up than dropping? Seems as if many are able to succeed at using software to ferret out the winners of the stock market. Shouldn't it be easier to screen out some steady, safe CC candidates? <<<


You're absolutely right. I keep a list of 150 of the very best stks over the past 10 years. These are stks that outperformed all others in good markets and bad. I look for strong earnings, low PE, low PS, high estimated growth, high cash balances. This chart has to show a steady up trend. This is my core list of stks.

I wait for pullbacks and profit taking and I write puts equal to the amount of the pullback plus whatever it takes to reach the next strike price. Check my previous posts for details on my CSCO play.
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