Apple is not a bad stock for PMCCs as it always finds support at lower levels. However, I personally think Apple will remain laggard for a while. Out of Mag 7, I'd much rather go with Amazon, Meta or NVDA.
@@TheSanjeevKaushik thank you. I was watching your video on mistakes in Poor Man's Covered Calls and I showed it to my husband too because I still don't understand how if an underlier goes up 20% due to a 65 delta on the long and a 35 delta on the short, the option will still loose value. Is that because the short expiration is closer and that 20% move was bearish and went again the short? You mentioned to watch your video explaining deltas and that this has everything to do with the delta. but the delta in your example was net 30 so as the underlier went up 20% I would expect the option to go up .30 cents on each dollar but instead in decreased...and I never could find your delta video. Maybe you would explain to my options trading group in a live call on Tuesday night:)?
@@Glowbylighting short answer is delta of long-term options does not move as much as it does for short-term options. Feel free to email me: sanjeev.kaushik@methodicaltrades.com
hello Sanjeev, would you mind telling me, do you still think Apple is a great pick for Poor Man's Covered Calls?
Apple is not a bad stock for PMCCs as it always finds support at lower levels. However, I personally think Apple will remain laggard for a while. Out of Mag 7, I'd much rather go with Amazon, Meta or NVDA.
@@TheSanjeevKaushik thank you. I was watching your video on mistakes in Poor Man's Covered Calls and I showed it to my husband too because I still don't understand how if an underlier goes up 20% due to a 65 delta on the long and a 35 delta on the short, the option will still loose value. Is that because the short expiration is closer and that 20% move was bearish and went again the short? You mentioned to watch your video explaining deltas and that this has everything to do with the delta. but the delta in your example was net 30 so as the underlier went up 20% I would expect the option to go up .30 cents on each dollar but instead in decreased...and I never could find your delta video. Maybe you would explain to my options trading group in a live call on Tuesday night:)?
@@Glowbylighting short answer is delta of long-term options does not move as much as it does for short-term options. Feel free to email me: sanjeev.kaushik@methodicaltrades.com