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Why I Love Covered Call Writing

 

Hello, I'm John Brasher, CallWriter Publisher.

If you are ready to learn a conservative, simple, easy-to-follow stock option trading strategy that can be profitable pretty quickly, CallWriter is the place for you. No exotic or complex strategies are involved. You don't use margin or leverage (unless you so choose - most don't). You are not required to trade directionally or time the market.

Reasons to Write Covered Calls

There are many reasons to write covered calls... way too many to list on a single web page. But here are some of the main ones:

• Covered calls generate consistent income, like a home-based business.
Done properly, and with trade discipline, covered call trading generates a consistent income. You only need a computer and Internet connection (and CallWriter) for success. No vehicles, offices, employees, insurance… a terrific business right in your home. Consistent trading success results from consistent habits. You can do this.

" I'm using CallWriter for my trading and it's like a home based business. That's exactly how I treat it, like a business. That's what I do now. I'm retired and I fish and I trade. All I need is my trading deck and your service. This is a bargain, Johnny . " James Roberts, N. Carolina

• Covered calls are more conservative than just owning the stock.
The stream of premium income obtained from writing covered calls actually reduces the risk of owning the stock. So sayeth the Chicago Board Options Exchange (CBOE), the largest US option exchange. If you're like me, you love the idea of using a conservative strategy that generates a substantial, consistent income.

• It is a non-directional strategy that can win no matter what the market is doing.
Sure, some markets are fatter than others, and sometimes (rarely) you have to stay on the sidelines, but it is seldom that we cannot write covered calls. We're not betting on a stock's direction. You don't to be a stock timer and don't need any timing method to be successful with covered calls.




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"I have been successfully using your CallWriter covered call system for a few years and it works well in a rising market, flat market, and even a choppy market." D. Strohl, Indianapolis, IN

We sell call options to speculators trying to time the market.
Market timers who buy calls and puts are wrong most of the time, which means sellers of covered call writers are right most of the time. I win if I win, and I win if I draw; directional traders don't.

• A covered call has few moving parts and is easy to understand.
Some trades are complex, and some people prefer complexity (we all know a few). But a covered call just involves buying a high-quality stock and selling call options against it for premium income. Nothing fancy – and very easy to understand. It's not rocket science. You can do it. I explain this simple strategy in simple detail in Writing Covered Call Options .

• Our covered call trading method is intuitive and easy to learn.
Everything I teach about covered call writing is common-sense and simple, and I wouldn't have it any other way. Specialized training and years of trading experience are not necessary for success. It is among the very easiest trades to learn and execute. In fact, it's ideal for new or inexperienced traders, but old salts like it, too.

"For those who are still in doubt about call writing, all I did was follow the call writing rules on your site and read the Trade Coach [articles] religiously. Thank you indeed for your wonderful service." S. Gardner, Dubai, United Arab Emirates

• Covered calls are very forgiving; easy to manage when the stock moves wrong.
Simple trade management strategies make it easy to keep covered call trades on a profitable course. Learn how you can win even when the stock loses. Most strategies for stock option trading aren't nearly so forgiving (or consistently profitable).

Time is on your side when writing covered calls.
The covered calls we sell eventually expire, which locks in our profit. Time is our friend. But time is the enemy of the option buyer. Call options lose a little value every day, and we call writers use this decay in value to our benefit. When calls expire, all of their value evaporates – right into the accounts of us covered call writers.

• Covered calls make maximum use of time decay for maximum profitability.
You know now that stock options lose a little value every day. But even better, they lose the greatest percentage of value in the last month of their existence. This is why we generally sell options with 30 days or less remaining before expiration. We are maximizing the time value we put in our pocket and making maximum use of the time decay in option value.

• There are many covered call strategies - a flexible, yet simple strategy.
There are indeed many ways to approach covered call writing. We start you out with the simplest and in many ways best strategy – sell calls with high premium on the best companies, when the companies are not facing a major event or crisis. How hard is that? You can add the fancy stuff (though only if you want) as you learn it.

• Covered call writing - a strategy you can do for a lifetime.
Hot new strategies come and go, and the market adapts to them. Or the market evolves in a different direction. Either way, a lot of hot approaches that used to work - don't anymore. Covered call writing is different, since we're betting with the house. For 30 years now, covered writing has worked like a charm. It is not a flash-in-the-pan strategy but one you can use all your life.

"I'm a long time subscriber and have used the info on the lists for many trades. I average about 5% per month on my money with covered calls, which I am extremely happy with. Thanks again for the upgrades and keep up the excellent work." D. McAlister, Overgaard, AZ

I urge you to try covered call writing, with CallWriter, today. I think you''l find that it's just your speed. Nobody makes it easier than CallWriter.

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