I’ve Watched Covered Call Traders Lose Money for 40 Years — And It’s Almost Always the Same Mistakes Covered calls get a reputation as the “safest” options strategy. And generally, that’s true — it’s one of the only options strategies most brokerages approve in retirement accounts. But “safe” doesn’t mean “idiot-proof.” I’ve been selling options… Continue reading The 10 Most Expensive Covered Call Mistakes (And How to Avoid Them)
The Profit Is Right There in Front of You — The Question Is Whether You Take It One of the most common questions I get from students — and one that separates disciplined income investors from emotional traders — is this: “Mark, my covered call is profitable but it hasn’t expired yet. Should I close… Continue reading When to Close a Covered Call Early: Exit Rules Every Income Investor Needs
Learn how the collar strategy combines covered calls with protective puts to limit your downside risk. Includes real trade examples, zero-cost collar setups, and when to use collars vs. standard covered calls.
My Risk Management Rules for Covered Calls (After 40+ Years in the Markets) Here’s something most people won’t tell you about covered calls: the entry is the easy part. You buy 100 shares, sell a call, collect premium. Done. The hard part — the part that separates consistent income earners from everyone else — is… Continue reading The Complete Guide to Covered Call Risk Management: Protect Your Portfolio While Collecting Income
The Market Just Dropped 1.7% in a Day. Here’s Why I Wasn’t Worried. Yesterday, the S&P 500 fell 1.74% on Iran tensions and rising oil prices. The Nasdaq dropped 2.38%. My phone was buzzing with messages from panicked investors. Meanwhile, I was collecting premium. Look, I’ve been through multiple bear markets in my 40+ years… Continue reading Covered Calls in a Bear Market: My 5-Step Playbook for Collecting Income When Stocks Drop
When the market turns red, a lot of traders try to be heroes. They try to pick bottoms. They guess. They hope. That’s usually how people get hurt. In this update, Mark Yegge walked through what he showed his friend “Juicy Joe” (a covered call income trader). The main point was simple: In a… Continue reading Red Market Playbook: Fortress Covered Calls, Bearish Watchlist, and Bullish Setups
Right now, the financial media is running wall-to-wall coverage designed to make you do one thing: be afraid. Fear sells. Panic sells even better. But fear is also one of the most reliable wealth transfer mechanisms ever invented. When retail investors panic-sell quality assets near the bottom, someone is happily buying on the other… Continue reading Stop Letting Headlines Control Your Money: A Systematic Covered Call Plan for Fear Markets
