Dividend stock covered call strategy
Dividend Stock covered call strategy I'm changing strategy, I'm now converting to a dividend strategy with 90% of my account I'm going to accumulate dividend paying companies and accumulate dividends. I'm getting killed with the option strategies I'm trying. Can't take the losses. Just an fyi. The only gain I have managed to make over the past two years have been on some small accounts where I have purchased small amounts of dividend stocks and held them for a minimum of 6 months. I'm up on those accounts by roughly 20-30%. Imaging if I took the money the I was investing in options over that time and just collected dividend stocks and used a strategy called selling covered calls on one in particular bac. Selling covered calls is a strategy you use when your bullish on a stock and believe that it will continue to go up in value. It also gives you some downside protection. Buy 100 shares of the company stock. Sell a call against the stock you pu...