what kind of premium is deemed reasonable? I have done FX covered call before, not in stocks. 2 percent premium is too risky or not?
of
【在 g*****k 的大作中提到】 : yes. select a strike with a reasonable profit and with reasonable amount of : premium to keep if the strike is not reached.
g*k
4 楼
for $100 stock, 2%, i.e.$2 is bit low to me. But it's up to you.
【在 g*****0 的大作中提到】 : what kind of premium is deemed reasonable? : I have done FX covered call before, not in stocks. : 2 percent premium is too risky or not? : : of
g*0
5 楼
Do you sell or buy calls?
【在 g*****k 的大作中提到】 : for $100 stock, 2%, i.e.$2 is bit low to me. But it's up to you.
When you sell covered calls, there is a good chance the call will dip during your timeframe. You can cover the call at the dip and keep the profit. Guess what? You can sell new calls then. Keep revolving.
g*0
13 楼
But the transaction cost is really high if the number of contracts is not big enough
during
【在 h*******a 的大作中提到】 : When you sell covered calls, there is a good chance the call will dip during : your timeframe. You can cover the call at the dip and keep the profit. : Guess what? You can sell new calls then. Keep revolving.
b*r
14 楼
1年期的? 应该不止10元吧。 假设1年期ATM 10元 10%多一点 profit cap 还有一个办法是 卖50%仓位 ATM covered call. hold until expire, if underlying up 10%, you get 10% profit. if underlying up 20%, you get 15% profit. if underlying up 30%, you get 20% profit. if underlying no change, you get 5% profit. if underlying down 10%, you get 5% loss. if underlying down 20%, you get 15% loss. sell 102% covered call 对于蓝筹之类 也可以
【在 b******r 的大作中提到】 : 1年期的? 应该不止10元吧。 假设1年期ATM 10元 10%多一点 profit cap : 还有一个办法是 卖50%仓位 ATM covered call. : hold until expire, : if underlying up 10%, you get 10% profit. : if underlying up 20%, you get 15% profit. : if underlying up 30%, you get 20% profit. : if underlying no change, you get 5% profit. : if underlying down 10%, you get 5% loss. : if underlying down 20%, you get 15% loss. : sell 102% covered call 对于蓝筹之类 也可以