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Member Since 13 Jan 2005
Offline Last Active Dec 22 2014 03:54 AM

Blog Entries

Blog cletus > Covered call writing

Posted 25 October 2008

I got a pm asking about writing covered calls so I figure I'll go into more detail about them today.

Covered call writing is the most popular options strategy available to your average retail investor. It is purely a income generating strategy. You won't get rich from this and it only provides limited downside protection. It is relatively low risk and ea...

Blog cletus > Expiration day

Posted 18 October 2008

It's hard to believe another month has gone by and it is expiration day already. Most people know the third Friday of every month is expiry date for equity options but that is merely scratching the surface. Technically expiration is the third Saturday but all this means is you have to be aware of after hours trading on any stocks in which you have a optio...

Blog cletus > Entry #1...

Posted 14 October 2008

I typed this up a few days ago and saved as a draft. Now I can't tell if it can be seen by public or not so I figured I'll post it again.

If you are reading this then you have probably clicked on my profile after seeing some financial advice I gave. So I guess I'll tell you a little bit about myself as a investor. I shamelessly stole this template from...

Blog cletus > Entry #3

Posted 13 October 2008

When you trade options it is not always necessary to bet on up or down movement. You can bet on sideways movement or bet that a stock wouldn't move past a certain point. Today I'll expound a little more on the latter. I am always on the lookout for opportunities to bet against a stock moving above or below some price.

A good example of a definite ceiling...

Blog cletus > Entry #2

Posted 11 October 2008

I promise not to write this often every day. I'm still learning the functions of this blog. I'll probably average 2 - 3 entries per week.

I guess I should go into more details about my options trading.

First let me talk a bit about Wachovia. Last week they were in the middle of a legal dispute between Citigroup and Wells Fargo. Citigroup (with prodding...