Tag: how to fix a broken covered call trade

I Found A Way To Fix My Broken Covered CALL & Naked CALL Positions, While Releasing Stuck Shares, Unrealised Profits, Without Hurting Liquidity

by Jason Cai

When an options seller sells a CALL option, he agrees to sell 100 shares of an underlying stock at a specific price, also known as the strike price, if the share price of the underlying stock rises above the strike price at the expiration date (end of contract). A CALL Seller can get stuck in … Continue reading I Found A Way To Fix My Broken Covered CALL & Naked CALL Positions, While Releasing Stuck Shares, Unrealised Profits, Without Hurting Liquidity

Nvidia Catch-22: How I Attempt To Unwrong A Failed Covered CALL Trade

by Jason Cai

In a previous article, I shared that I was in a catch-22 situation with Nvidia shares and options contract, which resulted in a lose-lose situation whether Nvidia’s share price rose or fell. This situation happened because I sold Covered CALL contracts on my Nvidia shares when they were trading at a very low price. To … Continue reading Nvidia Catch-22: How I Attempt To Unwrong A Failed Covered CALL Trade