Sunday, October 17, 2010 EST
The Option Search Database stock selection was expanded to including the following:
  • Previously 1,750 Stocks. Now 2,758 Stocks and ETFs!
  • Previously 70,000 Covered Call & Naked Put choices now over 100,000!
  • Filter Search Criteria Expanded: Filter your choices by ETF, S&P 500 Stocks, NASDAQ 100 Stocks, or DOW 30 Stocks

Using the Sector drop down on expert search page is a great way to narrow your focus on a group of stocks.

For example, if you sell Covered Calls on Quality Large Cap stocks select S&P 500 stocks from the drop down as shown below. You can then add P/E Ratio of 5 to 20 to look for Large Cap Value stocks, or P/E > 20 for Large Cap Growth.

 

Tuesday, October 12, 2010 EST

Running an Advanced Option screener today looking for good covered call opportunities on value stocks for the 11/20 expiration date.

 

The first stock that came up on the list, which was a naked put trade this week is (AMED). AMED is a value play with a P/E of 5.50. There were four potential trades that came up for (AMED).  The $26 in the money (ITM) strike on AMED has a 5.15% ROI for 39 days. 

 

The covered call that looked most compelling is the out of the money (OTM) $28 strike with 5.38% ROI and 7.38% downside protection.  The risk/reward on the $28 strike makes this trade more attractive than the ITM strikes.  Now the research to make sure from a fundamental standpoint this is a good pick.

 

 
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