Revenue

Writing covered call options to profit from a period of consolidation
December 03, 2019
Bearish Outlook

Writing covered call options to profit from a period of consolidation

Martin Noël

As can be seen in the following graph, the price trend for shares in the Canadian National Railway Company (CNR) appears to have faltered. The stochastic oscillator indicator has just fallen below 75, much like it did in June 2019. At that time, the price of CNR stayed in a channel for many weeks. As long as the oscillator...

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3 days ago
Covered Call Block Trade on Canada Goose Holdings Inc (GOOS.TO)
November 14, 2019
Protection

Covered Call Block Trade on Canada Goose Holdings Inc (GOOS.TO)

Mehra Wealth Management Group

For almost 20 years, our team at CIBC Private Wealth has used defensive option strategies including Covered Calls, Selling Covered Puts and Collars to manage client portfolios. Our objective is to generate income from option premium in addition to dividends paid on stocks. Our primary focus is on wealth preservation. A Covered...

389
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1
3 weeks ago
Generating Income with Credit Vertical Spreads
August 29, 2019
Bearish Outlook

Generating Income with Credit Vertical Spreads

Tony Zhang

Credit spreads are a popular strategy that is used to generate income with limited risk from a modest bullish, bearish or even neutral view on a stock or ETF. Many investors are attracted to writing higher delta options because of the higher premiums, but it is important to understand the tradeoff, which is that this will risk...

513
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Like
3 months ago
Top 3 Strategies to Generate Income with Options
July 04, 2019
Revenue

Top 3 Strategies to Generate Income with Options

Tony Zhang

Options can be used to provide an additional income stream for just about any portfolio. Whether you are interested in acquiring an equity position, already own equities, or simply do not wish to own any equities, there are option strategies that are suitable to generate income. In this post, we will explore the top 3 income...

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5 months ago
Options Insights: Trading your First Option
June 25, 2019
Concepts

Options Insights: Trading your First Option

Tony Zhang

Options trading is a skillset that typically takes a few weeks to a few months to learn. The numbers and strategies can be intimidating initially, but don’t be discouraged. If the option chains, Greeks and terminology seem complicated at first, there are tools such as OptionsPlay and ongoing education from the Montréal...

612
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5 months ago
Writing Put Options on a Support Level
May 16, 2019
Concepts

Writing Put Options on a Support Level

Martin Noël

As the following chart shows, the price of shares in George Weston Limited (WN) is down slightly from its recent high of $102.30, and it could stabilize at a support level of around $98.00. This is close to the current level of its 34-day moving average (on April 29, 2019). Furthermore, we can see that the stock’s RSI 5...

777
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7 months ago
The Definitive and Practical Guide to Selling Covered Calls
May 08, 2019
Protection

The Definitive and Practical Guide to Selling Covered Calls

Tony Zhang

Many equity investors utilize options to generate income on their portfolio. A covered call is the single most popular options strategy to add income to the existing stocks and ETFs in your portfolio. This simple option strategy only requires 100 shares of a stock or ETF and selling a call option against it to generate yield....

958
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2
7 months ago
Looking for a Bond Substitute?
February 13, 2017
Dividends

Looking for a Bond Substitute?

Richard Croft

Despite the hype around the Trump Rally, some stocks have been left behind. Notable among the group; BCE Inc. (TMX: symbol: BCE) which closed last Friday at $58.28. Well off the highs of August 2016 when the stock traded above $63 per share.   A growth investor might consider that tragic. However, most investors see this...

1891
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2
3 years ago
Why pay more when you can PEY less?
January 05, 2017
Bullish Outlook

Why pay more when you can PEY less?

Christopher Thom

Peyto (TSE: PEY) shares did well in 2016, rising 33.5%, as natural gas prices rose almost 64%. Natural gas accounts for 90% of Peyto’s total production volume. In my view, the shares are undervalued and could be purchased outright at this level. However, two issues arise with that idea. First, we are here to talk about...

1569
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3 years ago
An Electrifying Yield on a Utility Stock
October 12, 2016
Concepts

An Electrifying Yield on a Utility Stock

Christopher Thom

Utility stocks are often loved by yield investors. They provide steady dividends, are regulated businesses, and are less cyclical. Generally they can be called “boring,” but for the investors who own utility stocks that is what they love about them. We’ve seen this sector do well over the last few decades as interest...

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3
3 years ago