Covered Calls..

Covered Call is probably one of the most used strategies. A Covered Call write is the simultaneous purchase of a round lot of common stock and the sale of an equal amount of call options against it (e.g., buy 500 shares of common and sell 5 calls).

In PowerAnalyzer service we provide you with the unique capability to customize your search for the best Covered Call.

By clicking on the drop down menus below you can see all the choices available for your customizable searches.

Select Covered Call Type

Set Underlying Price Range

<

Price

<

Select Volatility and Time

AND Number of Days to Expiration

Primary Criteria

Secondary Criterions

Estimated Profit/Loss

Probability of Success

<

Option BID Price

<

Customize Your Report

Sort By

Sequence



Parameters

    1. Select Covered Call Type
    • In-the-money Covered Call - Allows to search through Covered Calls where selling Call strike is below Sock price.
    • Out-of-the-money Covered Call - Allows to search through Covered Calls where selling Call strike is above Sock price.
    • Both types of Covered Call - Allows to search through both types Covered Calls, but because we are providing only ONE result per stock, you will get the TYPE of Covered Call for the stock, where Primary criteria is higher.
      For example, you selected Estimated Return as the primary criterion. In-the-money Covered Calls usually give you lower Estimated Return, but higher Probability of Success than Out-of-the-Money Covered Calls. The reasoning behind this is due to Out-of-the-money Covered Calls giving you very little room for the stock to fall back before it exceeds profit zone. This is why Probability of Success for this type of trade rarely exceeds 55%. On the other hand, In-the-Money Covered Calls can give you a substantial buffer for the stock to fall back before you get out of the profit zone. This increases your probability of success but as usual your trade is at a lower Estimated Return. Pertaining to our searches, because we providing only one result base on primary criterion, if you use "Both Type …" selection with primary criterion "Estimated Return" and secondary criterion "Probability of Success" > 70%, you will miss Covered Calls where Probability of Success will be higher than 70%, but "Estimated Return" will be lower than other Covered Call for the same stock, who has higher "Estimated Return", but lower "Probability of Success."
    2. Set Underlying Price Range
    • Select Underlying Type (Stocks or Index are your only 2 choices)
    • Set Price Range (10 < Stock < 100  Stocks between $10 and $100)
    3. Select Volatility and Time
    • Select Volatility to be used in calculations (default is 1 Day Implied Volatility, but you can change it to 5 Days, 20 Days or 100 Days Statistical Volatility).
    • Number of Days to Expiration defines, which expiration months will be used.
    4. Primary Criteria. Choose one of the following five. "Estimated return" is always a safe choice.
    • Theta - The daily time decay of the position.
    • Time Premium - The total time value of the position.
    • MAX Return - Maximum posible profit devided by investment.)
    • Estimated Profit/Loss - Profit/Loss weighted by probability of each Profit/Loss happening.
    • Estimated Return - Estimated Profit/Loss as a percent to investment. 
    5. Secondary Criterions
    • Estimated Profit/Loss - Very important parameter, which represents Risk/Reward potentials of your trade.
    • Probability of Success - Probability that Profit would be greater or equal 0.
    • Option BID Price - Set the price range for the Call option
    6. Customize Your Report
    • Sort By - Defines the field that final Report will be Sort by. "Prime criteria" is usually your best choice, since that is what you selected for your Primary Criteria.
    • Sequence: Ascending or descending sort.

    The following is a sample report that was generated by using the default criteria for everything except for the fact that "Estimated Return" was selected as the Primary Criteria. Notice that, on the output, your selection criteria are printed and then the list of covered writes is shown. There is always the possibility that bad data can work its way into the list, although we do a great deal of screening to try to weed out bad data. Thus, it is up to the individual using this report to verify that current prices correspond with the prices in this report. One good rule of thumb is to be very skeptical of things that look "too good." There are no free lunches on Wall Street.


CALL WRITING REPORT.

Set Underlying Price Range

0 < Stock Price < 100

Select Volatility and Time

1 Day Implied Vol. AND Number of Days to Expiration < 75

Primary Criteria

Estimated Return > 0

Secondary Criterions

Estimated Profit/Loss > 0

Probability of Success > 50

0 < Option BID Price < 1000


All data is as of closing on Friday, 07/31/09 .

Copyright 1996 - 2009 ... EzTrade.com ...All Rights Reserved
Nbr. Symbol Description Est. Return Stock Price Exp. Month Strike Bid Est. P/L Prob. 1 Day Impl V.
1 AXL AMERICAN AXLE & MFG HLDGS IN 170.82 2.2 09/19/09 2.5 0.85 0.43 66.52 313.33
2 ACAD ACADIA PHARMACEUTICALS INC 66.53 4.07 09/19/09 5 1.05 0.66 65.68 201.99
3 NVAX NOVAVAX INC 29.4 4.34 09/19/09 7.5 0.3 0.55 54.73 164.54
4 IMMU IMMUNOMEDICS INC 26.4 4.14 09/19/09 7.5 0.2 0.49 53.51 154.77
5 SQNM SEQUENOM INC 23.76 5.76 09/19/09 15 0.05 0.67 50.74 130.6
6 OSIR OSIRIS THERAPEUTICS INC 18.87 12.18 09/19/09 17.5 0.9 0.98 56.42 129.93
7 ARM ARVINMERITOR INC 17.31 7.24 09/19/09 10 0.6 0.52 56.78 138.74
8 GTXI GTX INC DEL 17.25 10.52 09/19/09 12.5 1.3 0.68 61.6 122.17
9 BCRX BIOCRYST PHARMACEUTICALS 16.72 9.2 09/19/09 17.5 0.1 0.75 50.99 123.01
10 EDZ DIREXION SHS ETF TR 15.76 9.68 09/19/09 16 0.3 0.72 53.3 104.56
11 MTXX MATRIXX INITIATIVES INC 15.27 5.64 09/19/09 10 0.1 0.42 51.75 112.85
12 SOLF SOLARFUN POWER HOLDINGS CO L 14.07 7.2 09/19/09 15 0.05 0.5 50.77 100.66
13 SPPI SPECTRUM PHARMACEUTICALS INC 13.8 6.7 09/19/09 7.5 0.8 0.35 63.41 101.27
14 TZA DIREXION SHS ETF TR 12.87 16.53 09/19/09 25 0.55 0.99 54.3 85.56
15 LCC U S AIRWAYS GROUP INC 12.77 2.93 09/19/09 5 0.05 0.18 51.96 96.63
16 CPSL CHINA PRECISION STEEL INC 12.64 3.03 09/19/09 5 0.05 0.19 51.6 114.73
17 GERN GERON CORP 12.55 8.02 09/19/09 15 0.1 0.49 51.52 91.02
18 ERY DIREXION SHS ETF TR 12.55 18.5 09/19/09 26 0.8 1.06 55.47 87.82
19 CHINA CDC CORP 12.48 3.05 09/19/09 5 0.05 0.18 51.44 126.97
20 FAZ DIREXION SHS ETF TR 11.8 34.33 09/19/09 55 0.8 1.93 53.11 82.84
21 AIG AMERICAN INTL GROUP INC 11.77 13.14 09/19/09 25 0.06 0.77 50.53 96.38
22 SPAR SPARTAN MTRS INC 11.43 7 09/19/09 12.5 0.05 0.39 50.82 96.66
23 ARNA ARENA PHARMACEUTICALS INC 11.04 5.1 09/19/09 9 0.05 0.28 51.21 90.02
24 SRS PROSHARES TR 10.69 15.35 09/19/09 23 0.4 0.78 53.7 77.65
25 LVS LAS VEGAS SANDS CORP 10.63 9.35 09/19/09 17.5 0.05 0.49 50.67 88.85
26 FUQI FUQI INTERNATIONAL INC 10.2 24.13 09/19/09 45 0.05 1.23 50.25 91.19
27 FXP PROSHARES TR 9.93 9.85 09/19/09 15 0.2 0.47 52.71 82.88
28 OREX OREXIGEN THERAPEUTICS INC 9.83 8.18 09/19/09 12.5 0.15 0.39 51.99 102.35
29 BGZ DIREXION SHS ETF TR 9.66 27.64 09/19/09 41 0.65 1.27 53.63 71.5
30 SCO PROSHARES TR II 9.59 16.92 09/19/09 28 0.2 0.79 51.61 81.15
31 CBLI CLEVELAND BIOLABS INC 9.58 4.81 09/19/09 7.5 0.1 0.22 51.48 157.51
32 MNTA MOMENTA PHARMACEUTICALS INC 9.1 10.85 09/19/09 12.5 0.8 0.42 60.58 77.91
33 MNKD MANNKIND CORP 9.08 8.03 09/19/09 12.5 0.1 0.36 51.48 93.01
34 AUXL AUXILIUM PHARMACEUTICALS INC 9.01 30.93 09/19/09 22.5 9.7 0.9 90.67 77.77
35 ALTH ALLOS THERAPEUTICS INC 8.9 8.07 09/19/09 7.5 1.4 0.26 73.06 84.58
36 SMN PROSHARES TR 8.7 14.28 09/19/09 21 0.3 0.6 53.48 66.5
37 BEAT CARDIONET INC 8.23 7.11 09/19/09 10 0.2 0.28 53.09 100.99
38 MMR MCMORAN EXPLORATION CO 8.07 6.36 09/19/09 10 0.05 0.25 51.01 85.89
39 C CITIGROUP INC 7.71 3.17 09/19/09 7 0.01 0.12 50.48 72.8
40 HUN HUNTSMAN CORP 7.69 6.14 09/19/09 10 0.05 0.23 51.24 72.57
41 EEV PROSHARES TR 7.38 16.62 09/19/09 40 0.05 0.61 50.47 71.23
42 ENER ENERGY CONVERSION DEVICES IN 7.36 14.24 09/19/09 25 0.05 0.52 50.53 73.06
43 TYP DIREXION SHS ETF TR 7.25 15.96 09/19/09 22.5 0.3 0.56 52.59 80.17
44 MTL MECHEL OAO 7.02 10.68 09/19/09 15 0.2 0.36 52.52 82.22
45 AGM FEDERAL AGRIC MTG CORP 6.98 6.18 08/22/09 7.5 0.25 0.2 57.03 97.21
46 STEC STEC INC 6.95 34.09 09/19/09 50 0.4 1.16 51.49 87.51
47 CDII CHINA DIRECT INDS INC 6.95 1.85 09/19/09 2.5 0.15 0.05 54.55 202.33
48 MWN DIREXION SHS ETF TR 6.9 44.77 09/19/09 63 0.75 1.49 52.63 70.25
49 CAR AVIS BUDGET GROUP 6.78 8.55 09/19/09 12.5 0.1 0.28 51.45 89.06
50 RMBS RAMBUS INC DEL 6.71 16.93 09/19/09 22 0.5 0.53 54.4 74.14
51 TIVO TIVO INC 6.29 10.25 09/19/09 15 0.1 0.32 51.51 71.1
52 AMD ADVANCED MICRO DEVICES INC 6.23 3.66 09/19/09 6 0.02 0.11 50.94 64.41
53 VIP OPEN JT STK CO-VIMPEL COMMUN 5.87 13.51 09/19/09 20 0.1 0.39 51.21 67.51
54 TWM PROSHARES TR 5.87 34.79 09/19/09 46 0.65 0.98 53.6 57.03
55 SNDA SHANDA INTERACTIVE ENTMT LTD 5.7 49.58 09/19/09 80 0.05 1.41 50.16 68.86
56 SKF PROSHARES TR 5.58 34.32 09/19/09 46 0.55 0.93 53.03 58.3
57 DTG DOLLAR THRIFTY AUTOMOTIVE GP 5.49 16.55 09/19/09 20 0.95 0.4 56.62 97.01
58 DNDN DENDREON CORP 5.48 24.21 09/19/09 35 0.25 0.65 52.06 55.17
59 AGQ PROSHARES TR II 5.41 42 09/19/09 75 0.05 1.13 50.21 62.78
60 FRG FRONTEER DEV GROUP INC 5.23 3.76 09/19/09 5 0.1 0.09 53.09 95.56
61 DUG PROSHARES TR 5.14 16.76 09/19/09 23 0.2 0.42 52.4 54.54
62 WCG WELLCARE HEALTH PLANS INC 5.1 22.26 09/19/09 35 0.05 0.56 50.39 62.59
63 BC BRUNSWICK CORP 5.07 7.18 09/19/09 10 0.1 0.18 51.64 93.93
64 EJ E HOUSE CHINA HLDGS LTD 5.05 17.78 09/19/09 25 0.15 0.44 51.33 69.92
65 UNG UNITED STATES NATL GAS FUND 4.98 12.87 09/19/09 17 0.2 0.31 52.73 62.55
66 SSG PROSHARES TR 4.95 25.75 09/19/09 35 0.3 0.62 52.22 57.64
67 QID PROSHARES TR 4.89 26.84 09/19/09 36 0.35 0.64 52.95 48.53
68 FMCN FOCUS MEDIA HLDG LTD 4.85 8.75 09/19/09 12.5 0.05 0.21 50.92 68.49
69 SDS PROSHARES TR 4.7 47.26 09/19/09 62 0.65 1.08 53.22 46.9
70 TNA DIREXION SHS ETF TR 4.64 35.75 09/19/09 49 0.45 0.81 51.67 83.36
71 CLWR CLEARWIRE CORP NEW 4.55 8.1 09/19/09 10 0.25 0.17 54.69 72.55
72 FAS DIREXION SHS ETF TR 4.55 57.57 09/19/09 80 0.5 1.29 51.21 79.24
73 PALM PALM INC NEW 4.48 15.73 09/19/09 20 0.35 0.34 53.51 69.77
74 ERX DIREXION SHS ETF TR 4.43 32.9 09/19/09 31 4.8 0.56 70.54 79.67
75 NXTM NXSTAGE MEDICAL INC 4.43 5.54 09/19/09 7.5 0.1 0.12 52.12 94.56
76 TEN TENNECO INC 4.38 16.17 09/19/09 15 2.65 0.26 70.6 90.11
77 CWTR COLDWATER CREEK INC 4.31 7.34 09/19/09 10 0.1 0.15 51.71 88.38
78 PAY VERIFONE HLDGS INC 4.31 9.01 09/19/09 10 0.45 0.17 59.45 58.48
79 FCE_A FOREST CITY ENTERPRISES INC 4.28 7.14 09/19/09 10 0.05 0.15 50.91 85.47
80 MOS MOSAIC CO 4.22 52.15 09/19/09 80 0.1 1.1 50.38 56.24
81 ARST ARCSIGHT INC 4.13 18.97 09/19/09 25 0.25 0.38 52.13 68.16
82 GMXR GMX RES INC 4.11 11.63 09/19/09 15 0.25 0.23 53.02 78.77
83 CISG CNINSURE INC 4.1 17.62 09/19/09 25 0.05 0.36 50.42 74.96
84 ALNY ALNYLAM PHARMACEUTICALS INC 3.96 23.27 09/19/09 35 0.05 0.46 50.44 54.1
85 LULU LULULEMON ATHLETICA INC 3.84 17.72 09/19/09 25 0.05 0.34 50.51 60.79
86 FITB FIFTH THIRD BANCORP 3.74 9.5 09/19/09 13 0.05 0.18 50.92 63.08
87 KLIC KULICKE & SOFFA INDS INC 3.7 5.87 09/19/09 7.5 0.1 0.1 52.75 68.35
88 CTX CENTEX CORP 3.7 10.91 09/19/09 15 0.05 0.2 50.79 63.97
89 ALGN ALIGN TECHNOLOGY INC 3.69 10.91 09/19/09 15 0.05 0.2 50.86 58.8
90 NGS NATURAL GAS SERVICES GROUP 3.64 13.79 09/19/09 17.5 0.2 0.24 52.7 59.03
91 X UNITED STATES STL CORP NEW 3.56 39.75 09/19/09 55 0.15 0.7 50.75 55.45
92 OXM OXFORD INDS INC 3.55 13.71 09/19/09 15 0.8 0.21 59.89 65.54
93 ARGN AMERIGON INC 3.53 8.41 09/19/09 10 0.35 0.14 55.8 79.65
94 SHI SINOPEC SHANGHAI PETROCHEMIC 3.52 45.75 09/19/09 60 0.4 0.79 51.69 56.86
95 JCG J CREW GROUP INC 3.51 28.16 09/19/09 40 0.05 0.49 50.35 55.95
96 DY DYCOM INDS INC 3.5 12.73 09/19/09 17.5 0.05 0.22 50.77 56.44
97 HAYN HAYNES INTERNATIONAL INC 3.39 23.03 09/19/09 30 0.3 0.38 52.01 71.59
98 BGU DIREXION SHS ETF TR 3.36 41.56 09/19/09 35 8.3 0.53 80.45 70.83
99 TCK TECK RESOURCES LTD 3.34 26.29 09/19/09 30 1.15 0.4 57.28 66.48
100 IESC INTEGRATED ELECTRICAL SVC 3.33 9.15 09/19/09 12.5 0.05 0.15 50.78 77.75