Investors can sell to open out-of-the-money (OTM) or in-the-money (ITM) call(s) when establishing a short call position. The ideal scenario when selling OTM uncovered calls is when the underlying does ...
Options can be bought in the money or out of the money, depending on the trader's predictions for the stock and risk ...
Apple Inc (AAPL) stock is rising but is still well off its highs. Moreover, it could raise its dividend next quarter. That ...
Dividend risk elevates when a short call is ITM, and the corresponding put is worth less than the upcoming dividend payment. The only way to eliminate any dividend risk potential is by closing any ...
The short call spread (or "bear call spread") is a strategy employed by traders who expect a stock to move sideways, or decline slightly, during the time span of the trade. The spread offers a ...