Covered Call

Question 1

Using the _____ ____ proactively can take our risk/cost basis to zero over time.

Answer 1

Short Call

Question 2

The Covered Call is a key component of the ______ _____

Answer 2

Collar Trade

Question 3

_____ ____ optimizes a stagnant to bearish trend

Answer 3

Short Call

Question 4

_____ ____ optimizes a bullish, stagnant or slightly bearish trend

Answer 4

Covered Call

Question 5

____ __ ____ Short Call for a credit

Answer 5

Sell to Open (STO)

Question 6

Short Call _________ us to sell a stock at a fixed price within a set timeframe.

Answer 6

obligates

Question 7

____ is covered by the stock ownership.

Answer 7

Risk

Question 8

For Covered Call, Short Call is placed ___ or ___

Answer 8

ATM OTM

Question 9

Covered Call Net Cost Basis: ______ _____ - Short Call premium(s)

Answer 9

Equity price

Question 10

Covered Call Max Potential Reward:

Answer 10

Short Call strike price - cost basis