|
Trade
candidates have been manually
selected by CallWriter with the assistance
of data scans and other evaluation techniques. Lists
may be keyed to fundamentals, technical analysis results,
or a combination of both, as noted below. Using the
Select groupings of stocks for each list, our proprietary
Profit
Engine™ software evaluates and
presents returns in order of flat (uncalled) return.
CW
Global Select (Dividends):
The
frostiest, canniest covered call and naked put writers
achieve consistent success by by writing only the
best
of the best stocks!
These are the best and offer the lowest
volatilities - many of them are
little more volatile than the major indices!
These
lists are composed of stocks from all around the world
that consistently have been growing
EPS
(earnings per share) over the years and are expected
to continue doing so, are attractively priced compared
to earnings, and which pay a cash
dividend. They are mid-cap
($3 bln.) or larger.
Our
Global Select (Dividends) lists come in all our basic
flavors:
- Covered
Calls:
Near-the-Money (NTM)
- Covered
Calls:
In-the-Money
(ITM)
- Covered
Calls:
Out-of-the-Money
(OTM)
- Naked
Puts
- SuperPut:
Protected
Covered Calls
These
trade candidates are divided into many categories
for your convenience and are presented solely in descending
order of flat (uncalled return). These stocks are
generated by our proprietary Profit Engine™
software and there is no direct human involvement
in their generation.
S&P
100:
Stocks on
this list are components of the S&P
100 Index (OEX).
S&P
500:
Stocks
on this list are components of the
S&P 500 Index
(SPX).
Nasdaq
100:
Stocks
on this list are components of the
Nasdaq 100 Index
(NDX).
All-Markets
Covered Call:
These
stocks are divided up by current stock price:
•
Megalist
- (all
prices, highest returns)
•
Over
$40
•
$20
to $40
•
$10
to $20
•
Under
$10
Pharmaceuticals:
These
lists present only stocks in the biotechnology and
drug industries, including biotechnology, drug delivery,
diagnostic substances, drugs and major drugs. They
are regulated by the US Food and Drug Administration.
Exchange-Traded
Funds (ETFs):
These
exchange-listed investment vehicles are trust interests
that trade like stocks. They are often known as "tracking
stocks" because they typically
track market or sector indices.
Regular
ETFs
Examples include the Powershares
QQQ Trust Series 1 (QQQQ),
which tracks the Nasdaq 100 Index, and the SPDR
Trust Series 1 (SPY), the largest
ETF of all in terms of net assets, which tracks
the S&P 500 Index. Common ETF names include
Powershares,
Proshares, Holdrs, iShares, SPDR (Spyder)
and Select
Sector SPDR.
Leveraged
ETFs
Those interested in blood sport may be drawn to
our lists of the 2x
and 3x leveraged ETFs
(frequently called "ultra"),
such as Direxion Financial
Bull 3x Shares (FAS).
Low-Volume:
These
are low-liquidity stocks
which have either:
1)
average daily share volume less than 500,000, or
2) an open interest in the call
options less than 500 contracts
Or
both. Failing to meet either measure indicates very
low liquidity in the stock or call options. Some stocks
are guilty of both. While some of these can be great
trades, the low liquidity tends to make them riskier.
They also tend to be less-seasoned companies. These
are strictly for experienced writers who are capable
of making a canny assessment of risk.
These
trade candidates are divided into many categories
for your convenience and are presented solely in descending
order of flat (uncalled return). These stocks are
generated by our proprietary Profit Engine™
software and there is no direct human involvement
in their generation.
In-the-Money
Covered Calls:
Call
strikes featured are at least 10% in
the money (lower than current stock price).
These are preferred by investors looking for high
ITM time value premium. Common uses include 1)
conservative writing, since the ITM-strike call gives
more assurance of being assigned, and 2)
portfolio writers writing ITM calls on declining stocks,
then either rolling the calls down with the stock
price, or closing the calls at a profit as it declines.
Out-of-the-Money
Covered Call:
Call
strikes featured are at least 10% out
of the money (higher than current stock price).Common
uses include 1)
bullish writing of OTM calls,
2) bearish
writing of naked calls,
and 3)
the writing of bear call spreads
by writing an OTM call and purchasing a further OTM
call to create a bearish credit spread.
Global
Select (Dividends) Both ITM and OTM:
The
best stocks, great in-the-money and out-of-the-money
returns - what are you waiting for?.
Specialty
ITM/OTM :
These
lists feature plays that are either OTM or ITM. They
come in 3 flavors:
•
Pharmaceuticals
•
High
Volatility
•
Low
Volume
Also
known as Protected
Covered Calls and Calendar
Collars, our proprietary SuperPut
lists are true CallWriter firsts. Certainly, our
SuperPut lists are found nowhere else in the world.
Our
SuperPut consists of a covered call plus the purchase
of a longer-term (6 to 8 expiration months out
in time) protective
put option that is extremely cheap
in relation to the call premium, often 1.5x to 2.5x
times the call premium. The long put option provides
a price
guarantee for the stock at low cost.
This position structure limits
loss to a few percent of the amount
in the trade (including margin risk). That's why we
call it a SuperPut.
OTM
SuperPuts:
The
protective puts on these lists will be slightly out
of the money (OTM), meaning the strike
prices are lower than the
current stock price. The risk from either an upside
or downside move in the stock will never exceed 10%
of the amount at risk.
The
protective puts on these lists will be slightly in
the money (ITM), meaning the
strike prices are higher
than the current stock price.
The risk from either an upside or downside move in
the stock will never exceed 10%
of the amount at risk.
These
lists come in All-Markets,
S&P 500
and Global Select
(Dividend) variations.
ITM
SuperPuts:
Essentially
a sophisticated calendar collar, the SuperPut combines
a covered call with the purchase of a protective put
to insure the downside of the position, which guarantees
the call writer a fixed price for the stock and limits
loss to a few percent of the trade.
The
puts featured on these lists are either in
the money (strike price is higher
than the current stock price) or out
of the money (strike is lower than
the current stock price). Clicking on the put
symbol on the list will pop open a call
and put chain that will allow you to evaluate other
put strikes and expiration months.
These
lists come in All-Markets,
S&P 500
and Global Select
(Dividend) variations.
Specialty
SuperPuts:
Finally,
we offer two lists that contain both in-the-money
and out-of-the-money puts:
•
ETFs
- ITM/OTM
•
High-Volatility
- ITM/OTM
The
naked put, an alternative to the covered call, is
simply the sale of a put in order to generate income.
It also is used to purchase stock at a discount, since
the purchase price of the stock - if assigned - is
the stock cost less
the put premium received.
Our proprietary Naked
Put lists are CallWriter firsts. We offer near-the-money
(NTM) and out-of-the-money (OTM) lists, including
S&P 500 versions of both.
Clicking
on the put
symbol on the list will pop open a call
and put chain that will allow you to evaluate other
put strikes and expiration months.
NTM
Naked Puts:
The
puts featured on these lists are near the
money, meaning that their strike prices are
the same as or slightly higher or lower than the stock
price.These are ideal for writing naked puts where
either 1)
we desire assignment in order to purchase the stock
at a discount (put strike less the put premium received),
and 2)
where we are extremely bullish for the period up to
put expiration and wish to maximize put premium.
Deep
OTM Naked Puts:
The
puts featured on these lists are at least 5%
out of the money, meaning that their
strike prices are at least 5% lower
than the current stock price. These are
ideal for 1)
writing naked puts and 2)
writing bull put spreads
by selling the OTM put and buying a further OTM put.
Naked
Puts on Major-Index Stocks:
These
lists contain only companies that are respectively
listed on either the S&P 100, S&P
500 or Nasdaq 100
indices. There will be some overlap among the lists.The
puts featured on the indices lists will generally
be near the money.
Specialty
Naked Puts:
These
lists feature plays that are either OTM or ITM. They
come in 3 flavors:
•
ETFs
•
Leveraged
ETFs
•
High
Volatility
These
lists have been temporarily suspended due to loss
of our Montreal Exchange data feed.
Yet
another stunning CallWriter first - lists of
TSX-listed stocks and MX-listed call options, quoted
in Canadian exchange prices in Canadian dollars.
These
lists are for our Canadian members who would like
to write covered calls, naked puts and SuperPuts in
C$ using Canadian-listed
(not US-listed) stocks. These lists display
Toronto Stock Exchange
(TSX) stock symbols, and Montreal
Stock Exchange (MX)
call option symbols.We present five expiration months
of out two basic TSX lists: Over
C$35 and C$35
and Under.
Prices,
volumes, open interest and other data provided reflect
transactions on the TSX and MX. All money amounts
are shown in Canadian dollars (C$).
Note
that many of these stocks appear on our lists of US-listed
stocks, but often will have different symbols. For
example, Research in Motion trades under symbol RIMM
in the US and symbol RIM on the TSX.
|