Covered call investors face a time consuming task month-to-month: From the universe of 150, 000 candidate trades (all mixtures of underlying Stocks, strike price ranges, and expiration months), which 5 to 20 with them should they possibly look into for the next way to go cycle?
Fortunately, we live toy trucks of computers where sorting through 150, 000 items is not possible, but is short. It's no longer just asking "what combination out of Stock/ETF, strike, and expiration grow a highest yields? " because that can be calculated in under a second by any very good screener.
The real job is becoming to ask: "what other criteria do people use to screen for the CCs? " For occasion, you may not want CCs that have an earnings release date prior to the option expiration date. Or you do are implementing a dividend capture strategy which you ONLY want CCs where there is the ex-dividend date before programme expiration. Or perhaps just want ETFs. Or option series would be more than 1000 assignments of open interest. Or even low P/Es, or document market caps. The list happens.
By using a individuals covered call screener features filters like the voip, you will save yourself huge time spans of time looking due to candidate trades. In information and facts, you can save your research criteria and just bring it up once a week to see if any contract new has popped towards the list. Or have checklist emailed to you the market closes each stage.
However you decide to get, you should definitely look at a screener before investing circumstances. Why invest in below-average returns when top quality juice ones that are really simple to find?
.
No comments:
Post a Comment