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I like the idea of selling CC at April expiration as well. Maybe all 5 contracts at the same strike price? In the basic theory, I thought OTM if I think XOM will go up, ITM if I think XOM will go down and ATM if I'm neutral. I don't understand vol, vol-sensitivity, gamma risk. I will study more...

That is my understanding of the buying of a put option for my position. I have 500 shares of XOM that I bought at about 60.

Not only do I not understand the nuances... I don't understand a lot of what you are talking about. I also do not think I'm approved for option trading straddles. Sorry, I'm a beginner, a lot of the vocabulary and abbreviations you are using is over my current knowledge. All I have done in my...

Hi mikeriley, What is your mantra? (If you don't mind me asking?)

If XOM blows out earnings and goes to 120-123 I'll sell OTM calls for 2/17 Keep a tighter time frame

Maybe I should just buy some protective puts. Next week is a plethora of data/inputs XOM earnings OPEC meeting Fed meeting Employment data Tanks in Ukraine

Sorry, I lost you at some points. I will look at the calls and opposing puts. Basically, you are saying ATM is the way to go. That sounds good considering I can't decide on a direction for XOM. I do know that after XOM hits an all time high it tends to retreat a lot in a small period of time. I...

Based on the calculations, you are right. It is 6 of one, half a dozen of the other. If I skew more towards OTM and the stock goes higher then, duh, I do better. If I skew more towards ITM and the stock goes lower then, duh, I do better. XOM is so volatile, I'm considering just holding my shares...

PS if my sold calls are a little in the money, I tend to roll them to the next expiration date, at the same strike price, make a little more money and see if the closing price the next week drops under.

Thanks, Selling an in the money call has sense if you think that XOM will possibly go down under 105 by April 21. April 21 is a decent amount of time away. Right? Thanks on the suggested strategy. It is executing by choosing smart days to sell the put (down day) and a smart day to sell the call...

Thanks, that is my take as well. It just seems a little better (less risk) than putting all of my "eggs" in one strike price.

I am considering selling covered calls on my XOM. I have 500 shares and am looking at April 21 expiration. Does it make any sense to sell one contract at 100, one at 105, one at 110, one at 115 and one at 120? I am very new to options.