Investing in the equity market is not a
walk in the park. Even the most experienced traders are susceptible to huge
losses when the investment strategies they implement blow up in their faces.
The volatile prices of stocks in the stock market can bring a stockholder
success one day and terrible losses the next trading day. Traders create covered call options since they
want to ensure their portfolios are not affected by decreases in stock prices.
By entering a covered call contract,
a trader earns a premium by selling his stock for a strike price and the trader
still has a chance to keep the stock if the price of the stock drops further
than the strike price after an agreed date lapses.
Thousands of stock traders enter into this
type of agreement, which makes covered calls a very lucrative investment
strategy with less risks. However, the sheer number of stocks that are entered
into covered contracts makes it quite impossible to track down every stock in
the equity markets. Traders who are shopping for stocks that are up for covered
contracts will find it difficult to find stocks that are suited to their
investment strategies – unless they use a call screener.
With a call screener, traders can easily sort
through the covered stocks up for grabs in the market. They can filter data
according to US equity symbols and sort information according to categories
like weekly and monthly. They can also calculate how much their profits would
be if the covered stock stays the same in price or if the price goes up.
Similarly, users of call screeners can filter data by market capitalization,
moneyness, and even upcoming earnings reports, which they can refer to when
increasing their protection against falling stock prices.
Call screeners are premium products offered
by websites like Barchart. These
tools require users to subscribe and pay minimal monthly fees in order to enjoy
the benefits and privileges offered by the screener. Considering that an
investor’s earnings potential is at stake, subscribing to a call screener is
certainly worth the money. There are several covered call screeners available on
the Internet, such as the Barchart covered
call screener. Aside from the aforementioned features of the screener, Barchart’s screener allows users to
search for calls on the top traded stocks in the market. Users can also write
covered call options with this service.
Interested subscribers should visit barchart.com for more information.
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