Covered Writes, Covered Wrongs
Jonathan
What is a Covered Call? A covered call (or covered write or buy-write) is a long position in a security and a short position in a call option on that security. The diagram below constructs the covered call payoff diagram, including the option premium, at expiration when the call option is written at a $100 strike with a … Continue reading "Covered Writes, Covered Wrongs" The post Covered Writes, Covered Wrongs appeared first on QUANTITATIVE RESEARCH AND TRADING .