Gordon Scott has been an active investor and technical analyst for 20+ years. He is a Chartered Market Technician (CMT). Vikki Velasquez is a researcher and writer who has managed, coordinated, and ...

How to lower risk and potentially increase profits with this simple options strategy Samantha (Sam) Silberstein, CFP®, CSLP®, EA, is an experienced financial consultant. She has a demonstrated history ...

Derivatives like options can be risky securities to trade especially if you don’t have a strategy. For many traders during the pandemic years, options were used to speculate on volatile stocks. But ...

Investors can use ETFs to implement this relatively simple options strategy for yield and capital preservation.

Here's an example: Let’s say an investor owns 100 shares of XYZ stock trading at $50. They sell a covered call with a $55 strike price and collect a $2 premium per share ($200 in total). If XYZ stays ...

Covered calls are a common investment strategy. This strategy involves owning stocks and selling call options on them. By selling call options, investors earn extra income from option premiums while ...

Selling covered calls is an options trading strategy that helps you earn passive income using call options. This strategy works by selling call options against shares of a stock that you bought ...

Trading options can be a complicated process as a lot of options strategies are available and traders need to evaluate all of the possible routes ahead of executing a trade. As such, Schaeffer's are ...

Covered calls and dividend stocks are a natural pairing. One provides a steady stream of income through payouts, while the other adds a layer of premium on top. When combined, the two can produce a ...

In options trading, an uncovered option refers to a call or put option that is sold without having a position in the underlying stock. An uncovered option can also be referred to as a naked option.