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Benefits of Covered Call Screener

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Monday, 23. December 2013

A Reliable Stock Monitor Service Can Help Investors Sharpen and Improve Their Timing Strategies

By eedwing1987, 08:05

Are you interested in becoming an investor or trader in the stock market? If so, then you should understand that using a stock monitor is necessary if you want to be successful. The world of stock investing is quite tricky, even for those that have years of experience. As a newcomer, you should expect it to be even trickier. Fortunately, through the help of a monitoring service, you will be able to sharpen and improve your timing strategies. A monitor will help you receive up to date information about 52 week lows, 52 week highs and other valuable data.

 

Stay on top of the current market conditions

One of the main reasons to use a stock market monitor is simply because of the fact that this service allows users to stay on top of the conditions and events currently happening in the market. Usersmay receive alerts anytime they wish on their feeds,computers, and mobile devices. If you are an investor or trader who is always on the go, you can opt for the notifications to be sent to your mobile device so that you are always up to date. By staying informed, you can make faster and wiser decisions that will positively affect your stocks.

 

Consistently reliable information on the go

There are three things that a reliable stock market monitor should be able to do; first, it should be able to provide users with information on how the stock market is doing. Next, it should also inform users as to which stocks theyshould include in their portfolios. Lastly, the monitor should be able to tell users which stocks they should remove, as well as stay away from. These are three very important areas that users should always be updated on for success in the stock market.

 

Additional helpful features

Aside from providing users the ability to learn about the conditions of the stock market at a glance, the best stock market monitor offers other features to help users become a more successful trader or investor. These additional features will help:

·         Learn about the types and the number of shares that are being traded in an upward and downward motion

·         Learn about the number of stocks that are on the rise or on the fall

·         Easily understand how the market is currently faring through the use of easy-to-understand symbols

·         Learn about the sectors that are performing well

·         Learn about the sectors that are experiencing a downward spiral

These are just some of the features the most reliable stock monitor service provides its users. A perfect example of such a stock market monitor service is the one offered by Barchart. You will easily learn about the top 52 week lows and highs, as well as receivenotifications on your mobile device about current stock market activities. For more information about how this service can help you sharpen and improve your timing strategies, visit barchart.com now.

 

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Friday, 29. November 2013

The Various Strategies Involved in Covered Call Writing

By eedwing1987, 08:02

A covered call is an investment strategy that many traders opt for in order to protect themselves against sudden changes in security prices. With this trading option, the person who holds a security, such as a stock, sells the rights to the security at a strike price set in the future in exchange for a premium. When the price of the security does not become lower than the strike price, the call writer not only gets to keep the premium but also the rights to the equity. Traders and investors who write covered calls often use a covered call screener to enable them to more easily find covered calls that are suited to their investment strategies.

 

Depending on their goals, there are different strategies that traders employ for covered calls.  There is the supplement return strategy wherein the call writer sells covered calls primarily for the extra profits they can derive from the premiums. The call writer believes and expects that the price of the security will continue to rise but not fall. The call writer expects that he or she will hold onto the security.

 

Another motivation for call writers to write calls is to protect their portfolio against losses. This strategy is often employed after a rise in the value of the security. By selling their securities through covered calls, traders can protect their portfolio against sudden and unforeseen decreases in prices of securities.

 

Traders who engage in covered calls also speculate about the prices of securities they are selling. Traders can double their income by selling covered calls successively. It is likely that traders can double their profits if they sell covered calls that have a 10% return in a month. These traders usually consult call screeners in order to find calls that have the highest returns.

 

Like any other investment strategy, covered calls have its risks. Though it is considered to be a conservative strategy, calls can also make a trader or call writer lose money if the security price drops significantly. Calls for highly volatile securities are riskier compared to writing calls for securities with low volatility.

 

Writing a covered call can be a great option for traders who want to maximize their profits and spare their portfolios from losses brought about by sudden drops in the value of securities. Using a covered call screener makes it much easier for traders to find, buy and write covered calls that are appropriate to their investment strategies. Sign up for a complimentary trial for Barchart’s screener at barchart.com.

 

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What are the Advantages of Covered Call Writing?

By eedwing1987, 08:00

Traders and stockholders have found different ways to maximize their earning potential while minimizing their risks. One of the more popular methods that traders utilize in the equity markets is covered call writing. Through covered calls, stockholders write a call option for a shares of stocks at an agreed price (also referred to as the strike price). The option buyer can exercise the option once the option date expires. Typically, option buyers do so when the price of the stock has become greater than the strike price.

 

Stockholders should have at least 100 shares of stocks to be able to write a call option.

In exchange for writing a call option, the call writer receives a premium. The beauty of this arrangement is that the call writer can keep the premium and the stock at the same time if the option buyer does not exercise the call option once the expiration date sets in. According to experts, selling stock options can earn a trader up to 60% or more a year. It is a normal practice for stockholders and traders to successively write call options on stocks, especially if they think that the value of the stocks will not increase significantly in the future. 

 

Aside from the extra income that traders receive from call options, they are also protected against losses in case the value of the stocks they own dip in the future. By entering into a call option, a stockholder can at least earn extra profit just in case the value of the stocks he or she owns slides in the future.

 

For instance, a stockholder writes an option for shares of stock ABC at a strike price of $40 per share. The call option expires after two months, with the stockholder earning around $5 per share from the call option. However, the stocks of ABC slide down to $30 per share, which means that the stockholder loses income opportunity. The stockholder can still look at the brighter side since he was able to earn some money by entering into a call option agreement. Likewise, the stockholder retains possession of the stocks because the call buyer won’t proceed with the call option given that the value of the stock has decreased.

 

Covered calls are considered to be low risk investment strategies, yet, like all other investment moves, the strategy still has risks. Stockholders and traders must study their options first, before writing a covered call.  A call screener can help investors with their strategies. Visit barchart.com to learn more.

 

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The Basics of Writing, Selling, and Buying Covered Calls

By eedwing1987, 07:53

Prices of securities can go up and down in a matter of days. The volatility of prices is one of the main motivations for traders to engage in covered calls. By writing covered call options, a trader sells the rights to a security, such as a stock, for an agreed price (also known as a strike price) at a predetermined date. In return, the trader is paid for it with a fee that is called a premium. However, the premium also means that the buyer can own the stock in the future if he or she exercises the option. This usually happens when the price of the stock becomes higher than its strike price. Like all other investment strategies, covered call transactions have fees with commissions for the individual that sells the call, as well as the individual that purchases the stocks.

 

Traders who write calls not only want to gain extra income from the premiums, but they also hope to keep their securities. They hope that the price of the stock will remain lower than the strike price. This means the option buyer will not be encouraged to proceed with the option. When the covered call option expires worthless, the seller gets to keep both the premium and the stock shares.

 

Most of the traders who opt for covered call writing don’t want to lose the shares of stocks they own. They feel that the value of stocks they own won’t increase significantly in the future, especially on or before the call option expiration date. If the price of the stock they wrote a covered call for suddenly goes up, then there’s a big possibility that the option buyer will exercise the option, thus meaning the call option writer lose his shares.

 

The risk of entering a covered call option is that the call writer may not only lose the shares of stocks but also a great income opportunity in case the stock value suddenly increases. If the stock’s price goes through the roof, then the option buyer will naturally exercise the option. This means the seller will lose his shares, as well as an opportunity to gain more by selling the shares.

 

Covered calls can be a very strategic investment move for any trader, but just like any other investment move, traders have to study their options before entering into a covered call options agreement. A screener may help improve traders’ chances. Sign up for a free trial for a call screener at barchart.com.

 

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Commodities Trading Made Easy with Comprehensive Commodity Charts

By eedwing1987, 07:51

Commodity trading is a great investment option for investors and traders. A commodity is something that has value with consistent quality that is produced in large amounts by various manufacturers. Corn is an example of a commodity, as well as gold and wheat. People who invest in the stock market can expand their portfolio by investing in commodities. With the help of financial websites, a trader can access important information about commodities like commodity charts that could aid in wise investment decisions.

 

Trading commodities is similar to trading shares of stocks. Investors can buy and sell different commodities they desire, with prices affected by the supply and demand of a given commodity. For instance, if a typhoon devastates a country that produces a significant amount of wheat, the price of the remaining wheat resources would immediately rise due to the great demand for said commodity. An investor who has wheat in his portfolio could have a good chance of earning a profit if he sells his commodity at that time. However, if there is too much wheat in the market, then the price of said commodity would be negatively affected. The investor who ends up selling his wheat in the market during high demand would surely net a loss.

 

Similar to stock trading, commodity trading has its risks. It is for this reason that investors study the supply and demand of commodities to help them determine how the prices of commodities will fare in the future. Aside from natural calamities, other occurrences that can affect the supply and demand of commodities include political issues, as well as changes in consumer preferences.

 

Commodity trading is not simple, which is the reason why many traders and investors seek information from reliable financial websites. These websites specialize in stock market and commodities market information, providing up to the minute details on prices of commodities to enable investors to easily track their investments. Some of these websites include charts of commodity histories that enable its members to conveniently monitor the prices of commodities. Some also have analyses of commodities that members can refer to when making a prediction about the future prices of commodities.

 

Commodities trading can yield great returns to traders and investors, especially if they are well informed about the trends and factors that affect the prices of commodities. By logging on to websites like Barchart.com, which has tools like commodity charts, investors have a better chance of yielding a profit. Visit the website of Barchart.com by logging onto barchart.com.

 

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Covered Call Screener Aids Investors During Risky Ventures

By eedwing1987, 07:49

Investing in the stock market can be very risky. Prices of stocks can increase one day and then drop the next.  Stockholders and investors naturally want to protect themselves in case the prices of stocks they own drop in the future, so many create covered call options. Writing covered calls is a strategy wherein an investor or stockholder enters a contract for a stock he owns. The investor or stockholder not only gets paid for entering into an agreement, but he can also retain the stock he sold if the price of the stock is lower than the strike price. Entering into agreements for covered calls can be complicated, especially for first-time investors, but they can receive substantial help by subscribing to websites with premium services like Barchart.

 

A reputable provider of financial market information, Barcharthas been in business for over 80 years. Throughout its history, the company has consistently formulated tools that enable financial market investors to maximize their earnings potential. One of the tools that the company has created is the screener for covered calls, which allows investors to screen the best calls depending on price and time range. With the Barchart screener, investors who subscribe to this program can easily find calls that are best suited to their trading strategies. They can easily sort contracts and find one that suits their portfolio.

The Barchart call screener is so easy to use that even novice traders will be able to properly utilize it in no time at all. There is a search button where users can type equity symbols. Users can also see profitability calculations, as well as downside protection and gains in case the price of the stock remains flat, as well as yearly returns. The screener also filters stocks according to market and exchange capitalization. The screener can sort information based on earning reports that will soon be made public so traders can further increase their protection if the stock prices slide in the future. Traders can also filter calls by stocks that have the highest dividends.

 

With the covered call screener from Barchart, traders will have a more solid understanding of the market and this increases the likelihood that they may earn a profit from their investments. Any trader who is looking to write covered calls should consider subscribing to barchart.com. With this powerful tool, maximizing trading gains in the covered call options market is within reach.

 

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The Impact of Covered Call Options on Buyers and Sellers

By eedwing1987, 07:46

A covered calls strategy is a limited risk strategy that is utilized by veteran and beginner traders, alike. It provides excellent benefits to both the buyer and the seller of the stock. Basically, covered call options provide buyers the opportunity to buy a stock at a predetermined price on or before a preset date. The buyer is not obligated to buy the stock once the option expiration lapses, especially if the stock price goes even further in the future. However, he or she can buy the stock if the prices continue to rise, which makes the arrangement a great investment considering the buyer bought the stock at a lower price.

 

Stockholders who enter into covered call contracts have various reasons to do so. For starters, these stockholders want to earn extra income from the premium that occurs when another trader enters into a covered call contract with them. The stockholders often believe that the prices of the stocks they are holding won’t change significantly in the near future, so the best way for them to maximize their earning potential is to create a covered call agreement. Aside from generating extra income from the premium, the stockholder who sells a stock in a covered call arrangement has the opportunity to keep the stock if the buyer does not proceed with the purchase of the stock once the option expiration lapses.

 

However, stockholders who enter into covered call contracts are also suppressing the value of their stocks. These stockholders are risking the probability that the stocks they own will become more valuable in the future. For instance, if a stockholder who sells a stock for a strike price of $40 is basically saying the said stock’s price won’t be more than $40 after the expiration, thus he could lose out on additional money in case the price rises to $45 or higher after the deal expires.

 

On the other hand, traders and investors who enter into covered call contracts usually believe that the stocks they are interested in will increase in value after the option expiration lapses. These traders are no fortunetellers, but they usually foresee the stocks they are acquiring through a covered call arrangement will shoot up in prices in the future.

 

Entering into covered call options is one of the many investment strategies that equity traders employ. New investors who want to know more about covered calls can find more information at barchart.com, a leading financial market information provider.

 

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Easily Monitor Market Activity and Top Stocks Online

By eedwing1987, 07:44

Stock markets are where investors buy shares of stocks from companies. There are many stock markets that operate in various parts of the globe. In the United States, three of the most popular and largest are the New York Stock Exchange (NYSE), NASDAQ, and the American Stock Exchange (AMEX). Stock markets thrive in other parts of the world, as well. With the amount of information coming from these stock markets, including prices and lists of top stocks, it can be very difficult for an investor to keep track of all these details. Fortunately, there are websites that provide stock market information like Barchart.com.

 

Perhaps the best-known stock exchange in the United States is the New York Stock Exchange. Located on Wall Street in the Big Apple, the NYSE has been operating since 1792. As it is the largest exchange in the United States, the NYSE also has the most stringent requirements for companies that want to join. Only financially strong and industry leading companies are qualified to join the NYSE.

Another popular stock market is the American Stock Exchange. It has operated in Manhattan since 1921. It not only exchanges stocks but also options. It operates under the NASDAQ-AMEX Market Group and often lists slightly smaller stocks when compared to the NYSE.

 

The NASDAQ is the youngest of the three major stock markets in the United States. It is known for holding major technology stocks from firms like Intel and Microsoft. It also holds the distinction of being the first over-the-counter stock market. It was launched in 1971 and links buyers and sellers of stocks via a computer network.

 

Outside of the United States, the largest stock exchange is the Tokyo Stock Exchange (TSE). This exchange is based in Japan and has more than 2,000 listed companies. It also has the largest market capitalization in Asia with more than 4 trillion dollars.

Monitoring news and trends from these stock exchanges is easier with the help of financial websites. With the help of a website that caters to stock markets, investors can easily keep track of prices of stocks, as well as the best stocks.

 

Barchart.com is easy to use even for amateur investors and traders. It has powerful tools that allow its users to monitor market activity and learn the top stocks for the day. For more information on this website, visit Barchart.com at barchart.com.

 

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About Me

By eedwing1987, 07:40


I spent the past two years backpacking through Europe and it was a totally life changing experience that has inspired me! Though I don’t know what I want to do, I like to try to learn everything! I enjoy surfing, kayaking and taking all of my friends when we play Poker, haha!

Interests: Traveling the world, different cultures, water sports

Hobbies: Poker, kayaking, surfing, traveling

Favorite books: “Girl with a Pearl Earring” by Tracy Chevalier, “Snow

Falling on Cedars” by David Guterson

Favorite movies: Robin Hood: Men in Tights, Toy Story, Billy Madison

Favorite actors and actresses: Adam Sandler, Tina Fey

Favorite sport: Football