Who thinks Covered Writes Should be Illegal?

Who thinks Covered Writes Should be Illegal?

Dan Sheridan posted an article yesterday “Why should Covered Writes be Illegal?” A covered write is more commonly known as a covered call. Dan has an example of XYZ stock (I love XYZ stock…) +100 XYZ stock @ 90.00 -1 Aug 95 Call @ 1.00 Dan made a few...
What is a Bull Call Ratio Backspread Option Strategy?

What is a Bull Call Ratio Backspread Option Strategy?

The ratio backspread is a strategy used by traders to create a position with a limited loss and varying degrees of profit. If the trade goes against you and the position is setup correctly, it can help guard against a large loss. This can be useful, especially when...
Bid/Ask and “Spread” Prices … How They Can Affect Your Options Trading

Bid/Ask and “Spread” Prices … How They Can Affect Your Options Trading

Those new to options trading may not fully understand the different prices quoted on options contracts. Today we will discuss the basic prices which can appear in the option chain for an option: bid, ask, mark, and last. I will outline each price, as well as what the...