I hope you found value with today's video on selling covered call options! 🐂 Webull App - get up to 12 free stocks (limited time) ► sweetlifesuccess.com/go/webull
Since last week I opened the account for webull til now no free stock received I think may be this is not across the world.,only American network only...tell me something how to fund this account of webull from my account.
@@thimafosixstus6323you gave little info as to where you from so not sure how to help you but in general most are able to fund with a linked checking account (typically fee-free) or wire transfer via your bank (there will be a high charge)
and yet i stil dont know how to physically strike a call option on the stock i own to sell for a higher price if someone executes. Not one fucking youtuber that makes these kind of videos has a video that shows just that.
This was the simplest and thw best option trading video. I have watched so many and did not come close to understand it. Thank you for this video. You did a great job explaining option trading.
Awesome Video. Thanks You! Have one quick question. What would be the reasoning someone would sell covered calls in the money? Just a guess. Someone disliked there stock. They want to get paid to get rid of it?
Great video! Loved learning about Covered Calls. .And I really like that you used Webull because a lot of videos use Robin Hood. I like to see the variety
Awesome, glad this was helpful!! Yes I decided to use Webull since it’s a bit different. I do use both platforms and both have their unique views on options.
Glad it helped! Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
wow, after days of searching and going through so many videos on how to sell options, your explained it so clearly!! Definitely gonna subscribe, THNK YOU!😇
Great video one of the best by far!! I had a question if you let it go to expiration and don’t get assigned does webull handle closing of position or do you need to close/sell on your own?
If you Sold a covered call then yes Webull and all brokerages will handle it for you as they already charged you the fees up front. You don’t have to do anything n keep all the premium. But remember If you bought “buy to open” you lost all that you paid for the premium as the contract holder, premium goes to the (owner) of the 100 stock shares. Market is unpredictable so it’s important to close out a contract so you can profit on the sell, whether that means buying it back for less profit as the owner of shares or selling it for more as the contract holder.
Hi Bob, Thanks for all your great contents here. I recently opened a Roth IRA account and here's is my current fund allocations: VTI(65%), VYM(15%), VUG(10%), VXUS(10%). I've a relatively higher risk tolerance, so I'm leaving bonds out for now. My question to you is if you were opening a Roth IRA account today, would these particular ETFs & ALLOCATIONS mirror your portfolio? Thanks!
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
Great question! I'm not a tax person, so always double check, but according to Fidelity the money received from selling a covered call is not included in income at the time the call is sold. Income or loss is recognized when the call is closed either by expiring worthless, by being closed with a closing purchase transaction, or by being assigned.
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
As always AMAZING video! I loved this video, I so don't understand options and this is the best video I've seen on options so far, keep them coming! I do have a question, and you may have covered it and I just missed it. If you are making a profit off of the difference that you set the price at, what keeps people from setting the price very very high and then getting the huge windfall? Cuz I noticed you picked $210. What kept you from choosing say $1,210? Maybe I missed something or didn't understand something looking forward to your reply.
Hello! Good question, the $210 is my strike price. Typically the higher in price you go with calls, the less premium you would receive (for example $1,210 likely is $0 premium and doesn't have much volume to it).
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
Thanks! Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
So I’m paper trading to figure this out but while your PL is going down on your 100 shares, the PL on the short is going up? Sorry lol, just trying to make the covered options make sense. Would this be in the sense of balancing out the loss of your drop in price of shares
Anything under $1k is easiest for newbies as its doable for most new traders. That means stocks $10/share or less. You’d want to look for high IV stocks, those that move as trending, Webull has an Options category on the Homepage so it’ll show the Top movers of the day/wk(Gainers n Losers). Also there is a screener too so you may want to explore it to find good ones.
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
Thank you for making this video. You explained it and broke it down very well. The real estate example was brilliant. I understand it now. What number do you put when the bid price and limit price says 0?
Glad it was helpful! if the bid and limit price is 0, that usually means there is no interest in the option (no volume). So I look for options (usually a few months/years out) that have enough volume to produce some income.
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
If you get in a contract when there’s lots of interest at the time n then for some reason the volume goes down to zero, you might try your chance on a “Market Order” instead of Limit so it just might execute n get filled.
Great suggestion! Will do!!! Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
Should beginners start by learning to buy/sell calls first before thinking about trying to buy 100 shares of a stock so that they can do this covered call? Do you have a video of call option for beginners? ( buying a call because you want the price to go up. Not buying a call because you hope that the price doesn't go up and someone takes your shares? )
So in the video you said the buyer have the right but no the obligation to buy the contract so the buyer can just closes to sell that contract and that it he keep the extra money and you keep the shares and the premium can anyone explain and thank you
When trying to sell a covered call, why did I get the following error message: "the buy/sell direction in this multi-leg options order is opposite to the long/short position of your existing position. To avoid your strategy being interrupted, please close related positions or change the selected option contract."?
If you are referring to the strike price, I see options up to $14+. Just be sure to go into the filter and adjust your strikes to see more. More info on how I did that at this timestamp: 05:58
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
You’d then would typically look for options with a Delta .50 or higher.. one with 70-90 should do it,especially if the stock is very volatile n bullish, it may exercised earlier, as soon as same week of expiration or if there’s a dividend on that week!
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
All these videos are the same, tell you what to do but don’t really execute the final buy back Trade 🧐 Where’s the order or the final print!? Oh bc No in Webull it won’t Allow to simply let you Leg-out of the short option and only choice it gives is to Sell to Close 😒.. getting stuck waiting and hoping it expires below the strike!
I hope you found value with today's video on selling covered call options!
🐂 Webull App - get up to 12 free stocks (limited time) ► sweetlifesuccess.com/go/webull
Ok...know them .,it is different the way you chat with us the way those rude guys do their ugly manner.
Since last week I opened the account for webull til now no free stock received I think may be this is not across the world.,only American network only...tell me something how to fund this account of webull from my account.
@@thimafosixstus6323you gave little info as to where you from so not sure how to help you but in general most are able to fund with a linked checking account (typically fee-free) or wire transfer via your bank (there will be a high charge)
Thank you for this video. this was the kind of simple, clear, in-depth video I was looking for.
Glad it was helpful!
and yet i stil dont know how to physically strike a call option on the stock i own to sell for a higher price if someone executes. Not one fucking youtuber that makes these kind of videos has a video that shows just that.
This was the simplest and thw best option trading video. I have watched so many and did not come close to understand it. Thank you for this video. You did a great job explaining option trading.
Awesome Video. Thanks You! Have one quick question. What would be the reasoning someone would sell covered calls in the money? Just a guess. Someone disliked there stock. They want to get paid to get rid of it?
I’d say cause they thought the stock was going down fast and they took the risk with a chance of high reward
Great video! Loved learning about Covered Calls. .And I really like that you used Webull because a lot of videos use Robin Hood. I like to see the variety
Awesome, glad this was helpful!! Yes I decided to use Webull since it’s a bit different. I do use both platforms and both have their unique views on options.
ive been wanting a video like this forever. makes perfect sense. so easy to understand like that.
I'm glad it was helpful!
This is amazing. I had a buddy try to explain this to me and I absolutely didn't get it. Got it now!
Glad it helped! Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
wow, after days of searching and going through so many videos on how to sell options, your explained it so clearly!! Definitely gonna subscribe, THNK YOU!😇
FANTASTIC VIDEO! Thank you for taking the time to make the video clean and professional. I now have a much better understanding of covered calls! 😁
This was very indepth and informative. Love the way you broke it down.
Glad it was helpful!
Finally clear description of what to do. Thank you!
Great video. Very useful information
Glad it was helpful!
Great video. Much appreciated. New to options and just learning them. Wasnt sure how to do this. You explained it very well.
You’re welcome, I’m glad this was helpful!
You are the best content creator for newbies. Thanks man! Jp
Thank you!!!
Amazing explanation !
Glad it helped!
Great video one of the best by far!! I had a question if you let it go to expiration and don’t get assigned does webull handle closing of position or do you need to close/sell on your own?
If you Sold a covered call then yes Webull and all brokerages will handle it for you as they already charged you the fees up front. You don’t have to do anything n keep all the premium.
But remember If you bought “buy to open” you lost all that you paid for the premium as the contract holder, premium goes to the (owner) of the 100 stock shares.
Market is unpredictable so it’s important to close out a contract so you can profit on the sell, whether that means buying it back for less profit as the owner of shares or selling it for more as the contract holder.
Great explanations! Thanks
You're welcome!
Really good video, would you be able todo a video covering an Iron Condor and walk through exercising one?
This is exactly what I wanted
I’m glad to hear that!
Hi Bob,
Thanks for all your great contents here. I recently opened a Roth IRA account and here's is my current fund allocations:
VTI(65%), VYM(15%), VUG(10%), VXUS(10%). I've a relatively higher risk tolerance, so I'm leaving bonds out for now. My question to you is if you were opening a Roth IRA account today, would these particular ETFs & ALLOCATIONS mirror your portfolio? Thanks!
Great explanation, thank you.
New sub because of this video 📹 😍
Welcome!!
Yes Selling Puts on stocks/ETFs (cash secured)
Got it!
Perfect timing
Woohoo!! Finally too!
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
@@BobSharpe thanks man, much appreciated
You can also keep rolling out your options, right?
Yes you can!
So if you “lose” your shares or they get sold. At what price do they sell at?
Bob do we get taxed on the money you make when you sell to open or on the actual profit after you buy to close?
Great question! I'm not a tax person, so always double check, but according to Fidelity the money received from selling a covered call is not included in income at the time the call is sold. Income or loss is recognized when the call is closed either by expiring worthless, by being closed with a closing purchase transaction, or by being assigned.
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
As always AMAZING video! I loved this video, I so don't understand options and this is the best video I've seen on options so far, keep them coming!
I do have a question, and you may have covered it and I just missed it. If you are making a profit off of the difference that you set the price at, what keeps people from setting the price very very high and then getting the huge windfall? Cuz I noticed you picked $210. What kept you from choosing say $1,210? Maybe I missed something or didn't understand something looking forward to your reply.
Hello! Good question, the $210 is my strike price. Typically the higher in price you go with calls, the less premium you would receive (for example $1,210 likely is $0 premium and doesn't have much volume to it).
@@BobSharpe okay, I get it! Thank you so very much! You are amazing! Keep making these awesome videos they're helping a ton of us out.
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
Covered option calls... Can be made in Fidelity, Etrade, Robinhood and a plethora of others. Any advange of Webull vs the others?
very nice video
Thanks! Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
So I’m paper trading to figure this out but while your PL is going down on your 100 shares, the PL on the short is going up? Sorry lol, just trying to make the covered options make sense. Would this be in the sense of balancing out the loss of your drop in price of shares
Any thought on low cost, high premium stocks to trade calls on?
Anything under $1k is easiest for newbies as its doable for most new traders. That means stocks $10/share or less. You’d want to look for high IV stocks, those that move as trending, Webull has an Options category on the Homepage so it’ll show the Top movers of the day/wk(Gainers n Losers).
Also there is a screener too so you may want to explore it to find good ones.
Bottoms Up! 🥃😉
Haha thanks and cheers!
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
@@BobSharpe Oh I know...ugh 🙄 I report and block 🛑. Have a good weekend! 😉
Thank you for making this video. You explained it and broke it down very well. The real estate example was brilliant. I understand it now. What number do you put when the bid price and limit price says 0?
Glad it was helpful! if the bid and limit price is 0, that usually means there is no interest in the option (no volume). So I look for options (usually a few months/years out) that have enough volume to produce some income.
@@BobSharpe okay gotcha. That makes sense. Thanks so much.
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
If you get in a contract when there’s lots of interest at the time n then for some reason the volume goes down to zero, you might try your chance on a “Market Order” instead of Limit so it just might execute n get filled.
if the higher the strike price the better why not just go for the highest number available?
Pretty sure less profit but the safer route
Awesome content! Can you do a video on the stability of Robinhood and Webull? After FTX crashing, it seems important!!! Thanks!!
Great suggestion! Will do!!!
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
Should beginners start by learning to buy/sell calls first before thinking about trying to buy 100 shares of a stock so that they can do this covered call? Do you have a video of call option for beginners? ( buying a call because you want the price to go up. Not buying a call because you hope that the price doesn't go up and someone takes your shares? )
Hey Bob, where are you at new new videos in two weeks
I know! I am coming back soon!! 😃
So in the video you said the buyer have the right but no the obligation to buy the contract so the buyer can just closes to sell that contract and that it he keep the extra money and you keep the shares and the premium can anyone explain and thank you
When trying to sell a covered call, why did I get the following error message: "the buy/sell direction in this multi-leg options order is opposite to the long/short position of your existing position. To avoid your strategy being interrupted, please close related positions or change the selected option contract."?
I own wkhs a $4.5/share .how can I sell c calls on wkhs if the options stop at 3.50/share?
If you are referring to the strike price, I see options up to $14+. Just be sure to go into the filter and adjust your strikes to see more. More info on how I did that at this timestamp: 05:58
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
Could you please do another video or explain max loss unlimited
He pretty much covers this concern at 14:42
What if u want to sell the shares at a higher price and keep the premium so ur goal is to let it expire itm so it gets called upon
You’d then would typically look for options with a Delta .50 or higher.. one with 70-90 should do it,especially if the stock is very volatile n bullish, it may exercised earlier, as soon as same week of expiration or if there’s a dividend on that week!
Webull is annoying now. It doesn't show estimated premium. It only shows Estimated total.
incredible
Mr Bob sharpe I did open webull acc now to get free stock.
Sounds great! You should get the stock in a few days, it'll be located under your account
@@BobSharpe I thank you a lot Mr this is great to be my teacher in this regard.stay blessed.
Also, any other replies that may look like they are from me and involve a Whatsapp number is NOT me. It's a scammer impersonator. Please do not contact them ⛔️
Does anyone know if you press sell to close if it sells your 100 shares to market or sells them to the options buyer?
That would be tothe market, the options buyer is the only one with the option to take the shares
All these videos are the same, tell you what to do but don’t really execute the final buy back Trade 🧐
Where’s the order or the final print!?
Oh bc No in Webull it won’t Allow to simply let you Leg-out of the short option and only choice it gives is to Sell to Close 😒.. getting stuck waiting and hoping it expires below the strike!
webull sucks for options
I love Premium, it's my bread and butter 🧈
For sure!