SELLING COVERED CALLS IS WHERE IT'S AT!! 🔥🔥🔥🔥 I've been doing this with 300 shares of TSLA and it's saved me half the losses from the recent dip in the market. Selling Options is the safest way to trade options, in my opinion. Great explanation 👍🏼

@guga781

Жыл бұрын

How about taxes on these covered calls if they get exercised? You are obligated or forced to sell your shares right?

@its9333

Жыл бұрын

@@guga781 if it is called you will have to sell. Some brokerages allow you to buy back shares before this point though, this can be in the form of a stop loss order or a take profit order. In which case, a take profit would’ve prevent the call from getting in the money

Ive watched so many videos on how to trade options. Henry is the only one I watch now, he explains the process very well. Thanks Henry wish I found your channel earlier but Im glad I finally learned!

Dude, Henry, more videos on options and just practically everything else you can possibly cover! You ROCK!

The opportunity with covered calls gets me pumped!!

@josephsaeteurn9158

2 жыл бұрын

i did this exact same thing.. i bought 100 shares of tattoo chef and i CC it right away at the next price above and collected the premium but the stock dropped almost $2 last week.

Hello Henry, i've been watching your video's and have my first month of options trading behind me. Only covered calls and cash secured puts. I have a big week coming with a lot of options expiring the 13th. It was stressing me out a bit since some are near the money and i'm on margin. After watching your 'rolling options' video i'm thinking: 'where's the catch?'. I've been investing in stock for 10 yrs and could hit myself in the head for not discovering this sooner. A big thank you for clearing up the clouds!

Can you do a post mortem video of this trade? What was the outcome? And thank you for the videos! I've been learning so much!

Thanks Henry. I learn something new every video I watch! Options trader Indiana

I am learning how to do this myself, thanks ton for the video and the explanation.

Loving all your videos learn a lot. Thank you Henry!

This is very interesting. I need to be a part of it.

Excellent video. Way better than most on this subject 😀

I have been watching your videos for awhile now(on tv), but now have a chance to thank you for your down to earth way of explaining options. I am in the learning phase, bought books, but still feel "unsure", and will probably paper trade first....I am interested in LEAPs and Covered Calls to start off, to generate income, and to protect assets. Thanks I will be listening more "bell" is checked.

You’re blowing my mind Henry

@Henry love these videos!! Thank you!

Love these options series videos.

Great vid - I do a lot of option trading and this was great. We do a stream every weekend about stocks and macro economy.

Absolutely love all the videos.

Great job Henry! I only do Options Selling Strategy and I really enjoy your coverage of selling puts and calls. I also ONLY do weekly's. Excellent income and growth strategy!!

Depends on what kind of trader you are in determining which strike to sell.

Excellent video, perfect info, thank you!!!

Nice. Very educational. I learn something

Thank you for the video, very useful.

Great video touching on all of the aspects of this strategy, including and especially the long term returns. This is truly a weekly mainentance trade that over time, with or without compounding, can generate a lot of passive income.

Thank you for such a great video. 👍

Great video that touches all the aspects of the strategy.

Don't know what I'm doing wrong but synthetic covered calls seem to inititally add buying power but at the end of the trade if it is ITM and gets assigned the money never materialises in the Net Liq side. Could have closed the other day with a straight Call for $700 but I thought I'd sell a Call ITM for greater premium. Ended up closing with $235 profit and it took an extra 10 days. I'll just stick to straight Calls in future - so much easier.

henry, what are the top 4-5 stock to start with that are fairly inexpensive and have good premiums? also could you or have you done a video to show how to set up stop loss on options using robinhood, incase things go sour and will get you out without too much bleeding incase we cant watch it all day. thanks

Do you normally just buy 100 stocks out right or start with a cash secured put to obtain 100 shares?

Great videos and easy to understand. Do you have a list of stocks you trade CSP and CC under $50 ?

Great teachings:) Curious to understand what happens if NIO for example drops to $40? Do you continue to sell the calls even with a smaller premium?

@michaelmack6683

2 жыл бұрын

I believe that's where the chart and Bollinger bands come in. The upper band at what he set at 2 deviations would keep the price within the bands 90% of the time. What I do is just set my new strike price at 5-8% above it's current price for weekly calls. Remember if it looks like your stock will be called away you can always roll your option to a higher strike price or to expire a week later. You do this by closing out your current position by buying the option. Then you can sell a new call option at a higher strike price usually at a expiration of a week later that gives you more premium.

@danb459

2 жыл бұрын

….aaaaand it continued to drop. 🤦🏻‍♂️

Holy crap, after all these videos I been watching on options this one finally had all the info together so that it clicked! I have to learn how to be successful at this so I can supplement my retirement income.

@InvestwithHenry

3 жыл бұрын

I've only been trading options for 8 years and have a teaching background too haha

Quick Question Henry. How do you track your P&L when selling options? I can’t find where the premium goes in my account details. Thanks for all the value you bring to new investors like us!

@InvestwithHenry

3 жыл бұрын

It's in history

@Onlyextrinsic

2 жыл бұрын

hey my friend there is a youtuber guy that sell cover call for a living, he offers spread sheet for free, for tracking covered call, cost basis and even poor man covered calls. I use the every single day. Franco

@rajasekharkoduri

2 жыл бұрын

@@Onlyextrinsic cab you please share the link or channel.

@Onlyextrinsic

2 жыл бұрын

@@rajasekharkoduri sure, it's THE CPT DASHBOARB

Hello would you close the position before the week ends?

Great video thank you so much. I look forward to your new videos

Henry Henry Henry…..bravo champ! Bump the other stuff, keep this coming.

When do you dump a stock you are selling calls on usually?

Uncle Henry I have a question. I have a long call on a stock and I'm selling shorts against it. On this same stock, I own over 100 shares and would like to sell calls against this as well, and would not mine if these shares would get sold. I want protect my LEAP and NOT get that exercised early. When I write a CC how do I know what collateral I'm putting up? The long call or the 100 shares I currently own? I'm finding myself in this pickle when this week ends, so it could be an easy solution when I go and write the CC, but I don't know yet and want to be prepared and know what to do. I'm on robin hood if that makes a difference. Thank you so much and I love your videos!

@CG-uk1vz

2 жыл бұрын

The collateral is the 100 shares you own.

How do u not have more subscribers?Great content. Great transparency on options. Thank you for these videos

@InvestwithHenry

3 жыл бұрын

Thank you! I'm happy as long as I'm helping others 😁

Good video - thank you.

Good afternoon! Please, is this a good time to sell Tesla covered calls? Thanks!!

In general I think selling covered calls is a good idea. However most video on see on the subject only talks about premiums and how great of a return you can get and that there is very little risk. One thing though that is not talked about is that there is a fair amount of risk.Reason being is at times share price can quickly go up or down in a big way. So when you sell covered calls you are at risk of share price going way down,but at the same time you are not able to enjoy share price recovery of price going way up quickly as you are forced to sell at strike price.

I've done some research on covered calls. My findings are that the theoretical returns don't seem to match the actual ones. When a stock blows up or blows down you have a problem. If it shoots higher, you get a small amount of that gain and now have to repurchase the stock at a much higher price if you want to keep writing calls on it. If it collapses in price (like a lot of growth stocks have done recently) what's your protection on the downside? Also, I have not seen any videos on covered call writing discuss wash sales which are a huge pain in the butt from a tax perspective.

@TheBookofTobit

2 жыл бұрын

If ur managing your position, it's always a win. Not a big win maybe, but a win nonetheless.

Hi i am in uk so no robinhood can i do exactly same with interactivebrokers? kind regards Paul

What is the best stock analyses website?

Hey brother, just a quick question. Can I use my Cash account to buy the 100 shares then sell the cover call on my Margin account? I understand the concept, but not sure which accounts to utilized. Warmest regards. Great information.

Rolling down sounds to make sense since you have positive unrealized pnl however when rolling up you are sitting in a negative unrealized pnl which you need to realize in order to defend your position from having it called away

Hey, could you clarify something about choosing the strike price. I don't care about potential gains from a stock or if my stocks get called away, I just want to maximize my weekly premiums. Since I can just buy back the 100 shares when I do get assigned, would it be best for me to always pick the closest strike price so I get the best guaranteed premium?

@officerdooderino5266

3 жыл бұрын

@Helen Tylor SCAMMER

@junxu7608

2 жыл бұрын

Once you get assigned. You may sell put instead of buying back because selling put will get you premium as well. It is called option wheel trading. Look up on the internet.

Do you prefer to simply buy the shares and then sell covered calls or to sell puts, wait until you get assigned, and then sell calls on those shares? Which is more profitable in the long term?

Hi Henry, which brokerage platform are you using for your main option trading account? Thanx

@felixhernandez9354

3 жыл бұрын

Most videos I seen , he has robinhood!

Thank you for your videos. What do you do or what strategies you follow when a stock you bought goes down by a big margin to an extent that selling covered calls at breakeven is almost worthless! I considered selling puts to collect premium and to dollar cost average down but this could not be done if you dont have cash collateral in case you get assigned.

Keep em coming Henry, I’m learning a ton!

Thanks so much for 🔥🔥!! Keep up the good work 👏

Hi Henry, i'm from outside The US, is there another trading platform that you'd recommend? Seems to be as user friendly as what you have shown?

May I know if I own CFD not stock ,can I do covered call?

Isn’t wise to sell calls on good green day for the stock?

so the standard deviation is the big yellow highlight

So what happens on August 13? Do you have to buy that option on August 13?

Great video

So say I make a sell call, on a stock Monday morning and the stock drops to my strike price the day I make it.(Monday) Do I buy 100 shares automatically that day or does it wait till Friday when the option actually expires? Thanks love these vids

@bernabedelarosa8803

2 жыл бұрын

You don’t get assigned until expiration date.

@trumpwonBIGLY

2 жыл бұрын

@@bernabedelarosa8803 you can be assigned anytime the person exercises once its ITM

I sell cash secured puts and covered calls.. I make a about 150$ to 300 a week with a cash account of 40k , mostly growth stocks weekly contracts.. better than have my money park in a savings account..

Excellent

I picked up more NIO shares today so I can sell covered calls! Thanks Uncle Henry.

I did it. I sell cover call AMC expired in 2 days. As long as AMC don’t go to 48 dollar this Friday,I make my premium of 150 dollars. Finger cross.

I started selling covered calls after watching your videos. Thank you!

Henry is out here teaching the infinite money cheat code

Did this all happen in the same time frame of an hour or whatever it took to create the initial video ? You bought and sold in that time ?

@InvestwithHenry

3 жыл бұрын

I did it live...

What people don’t talk about is if the stock falls 15-20% below your cost base. On your initial sale, you will make $ but after the stock drops 15-20% the premiums you can collect are very low. Further you’re unrealized loss far exceeds the premium you collected on your shares. Am I missing something here?

this was a great explanation 👏

I would not recommend selling calls so close to the earnings date, which is part of the reason why the premium is so high for nio.

I have AMC now, do you recommend cover calls? What if it’s gonna squeeze?

@InvestwithHenry

3 жыл бұрын

AMC I can't say. Too hard to predict

@j317

3 жыл бұрын

yes plenty of people are making good money off covered calls with amc mines well make money off your shares while u wait for it to squeeze if u think it's squeezing and u see it rising almost to the strike u choose for the covered call and u don't wanna lose your shares u can always buy the call back before it reaches your strike so u won't have to sell your shares

Today 7/28/22, NIO is trading at $19.11, so that buy of 100 shares @ $43.60 is a -$2,449 loss, minus the premium collected. Is there a strategy to recover to the plus side. Or just hold the shares in hopes of it going back up?

@vatreni8088

Жыл бұрын

Flip to a sell puts strategy? I'm new so I'm not sure that is right. But the stock was in a down trend, stage 4 decline, so a Call Strategy doesn't work.

Hi Henry. Love the content. Do you trade via your name or a legal entity of some sort?

@InvestwithHenry

3 жыл бұрын

Name

Hi Henry if we already own a 100 shares & we are selling a call (1 contract) against our own stock we are owning as collateral, do the broker still demand for any margin when we place the orders?

@seancrawford6026

2 жыл бұрын

If you own the shares and you payed cash for them. There is no margin

So if the price of the share falls below both the current share price and strike price, am I forced to sell the stock at a loss or can I retain the stock?

@mbradley0410

2 жыл бұрын

You can keep. You would be down on your initial investment of the shares, but you can always keep reselling contracts on it and collecting premium.

Got assigned (was selling puts). Instead of crediting me my Premium, broker assigned me discounted shares. (At strike minus premium). Is this standard procedure through out the industry? Tkx

Great video. Joined your group yesterday. Looking forward to huge stupid success.

Man this is good stuff, I'm learning with every video. Is a close strike better for gains tax if the trade is called away and is the premium short term gains?

So I’m still a little confused. Why wouldn’t you just choose a much higher strike price that guarantees the stock doesn’t hit that price more than likely. Sure you grt a little less premium, but if I can make $50 to $100 and know the stock won’t get exercised I could rinse and repeat. I’m sure I’m wrong and missing something.

hey guys just have a quick question, what if I have 100 shares at 40 dollars and im selling the covered call at a strike price of 42 dollars then the stock plummet to a price of 30 dollars, is my shares going to be sold to the buyer for 30 dollars or would the option expire worthless and i get to keep my share plus the premium?

@shivamkashan4056

2 жыл бұрын

The option would expire worthless and you keep the premium.

Bought NIO today at $44.80, sold $46 strike for this Friday and collected $1.13. If it hits strike that’s 5.2% gain. Sold my other NIO at $53 strike for next Friday, I don’t want to lose those ones.

@felixhernandez9354

3 жыл бұрын

Did you buy more this week?

Thanks Uncle Henry!

Great video. Clear and straightforward.

Love your video and content. Is it wise to sell a covered call through earnings? Could be a lot of volatility either direction

@InvestwithHenry

3 жыл бұрын

Depends

@slizzmo

3 жыл бұрын

I did last week with SPCE and earned some nice premium and the option expired worthless. Just need to keep an eye on it in case it moves against you and want to keep your shares by rolling up and out

Thanks, God bless.

Thanks a lot for the understanding Mr. Henry! What if the stock climbed to $46 before expiration, and then falls back down to $43 on expiration date? Do I still keep the underlying shares? Or just the premium?

@N.2023.

Жыл бұрын

Good question, please help Henry.

What if the stock keep faling?

No matter how many times I hear you talk about the wheel strategy, I listen to it all the way through. I already nicknamed it the wheel of money/fortune lol.

@L-Tone

3 жыл бұрын

Plus I wrote my first covered call contract on amc made like $250 in two weeks after I watched your video on covered calls. So thank you Henry, you the man!!

@bruvaman80

2 жыл бұрын

Think it all the way through, there are limitations or situations that you don't want to be in. It's OK, but there are better options.

@citizenm9590

2 жыл бұрын

@@bruvaman80 I'm new to option what are better options then covered call or cash secured puts?

Good videos Uncle Henry! ... Remember there's a lot of new investors starting off with $1,000 - $10,000. Keep the videos coming. 💪😎

Can you do this with a cash account?

@princessadin9796

2 жыл бұрын

Whatsapp a pro trader

This is serious BRO talk!

Thank you Henry. Even though I already know a lot about options trading and I'm already using them as a weekly income, I love watching your videos as a refresher and usually learn something new. I had my MARA shares called at 30.5 today and that hurt a little, but shouldn't complain, I'll sell puts again next week. Wish I'd learnt options trading sooner. 👍🤓

@InvestwithHenry

3 жыл бұрын

Fantastic. Glad to have you and love the comment

@steve99912

3 жыл бұрын

Why didn't you just roll it up and out?

@theenzone1420

3 жыл бұрын

@@steve99912 That's something I still have to learn more about. I tried buying to close and the order wouldn't go through. Anyway, I'm using yhe wheel strategy, so hopefully it'll work out OK.

@steve99912

3 жыл бұрын

@@theenzone1420 wheel stragedy has flaws. If you add a few things to the wheel stragedy you can really make some great gains.

@sulaymanbarrow7369

3 жыл бұрын

Me too at 33$ wasnt expecting that Friday runup

Enjoyed the video , can you go over the stop loss ? If a sharp drop when to get out , if it can’t roll out ?

Unk got me making Stupid! Money!

What happens if the price drops at expiration. You keep the stocks?

@shivamkashan4056

2 жыл бұрын

You keep the stock and the premium you collected from the option.

I bought covered call for Tesla last December when it was trading at around 1200 dollar. Since then Tesla has dropped significantly. Now if I place covered call at the cost basis the premiums is very low. If i sell covered call for lower price there is risk of stocks being called away and due to price drop there will be realized losses. Wtf do I do in this situation. Tesla is known to be volatile so even with small delta there is risk of being assigned.. thanks please answer this..

What is your Discord channel? Link?

@InvestwithHenry

3 жыл бұрын

Email ben@investwithhenry.com

Can someone please make this clear for me... let's say I did what Henry showed in this video, my first question is if I sold a call option and the stock gets to the strike price like 1 or 2 days after, are my shares going to be automatically sold, or can that only happen at the expiration date? 2nd question is let's say that if it's possible for a option to be exercised during the week before the expiration date, am I only going to get a partial of the premium or the the entire premium? thanks in advance!

@InvestwithHenry

3 жыл бұрын

Usually they are not exercised

@ultimatom94i

3 жыл бұрын

entire premium regardless unless you bought to close before expiration date

@adlsn335

3 жыл бұрын

@@ultimatom94i ok got it, thank you

@adlsn335

3 жыл бұрын

@@InvestwithHenry oh good to know, thanks for your reply Henry

does DELTA change as the price goes up or down?

@mbradley0410

2 жыл бұрын

Delta is always highest when it's at the money, and decreases as it moves away from it on either side.

As a monthlyl subscriber, where do I go to see your picks? sorry if this is the wrong avenue to ask this question.

@InvestwithHenry

3 жыл бұрын

Hey! So the only place is the weekly option income academy. That is only booked as I said through the link in description for it or by emailing ben@investwithhenry.com

@S2KPHD

3 жыл бұрын

@@InvestwithHenry thanks...

Henry, do you just let this specific trade expire or do you sell it before the date? Also if it just expires what happens? You sell 100 shares?