Tweet By Chris Ebert Traders occasionally become disenfranchised. They feel like they have become disconnected from the market – that the trading environment has changed so drastically that they cannot make a confident interpretation. That tends to happen when the S&P 500 Temperature reaches extremes. Any Temperature above +200 or below -200 is considered extreme. […]

Tweet By Chris Ebert Covered Call trading is often touted as a great way to earn income from stocks that a trader already owns. The trader sells a Call option on the owned stock and collects a fee known as the option premium. The problem with selling a Covered Call option is that it limits […]

Tweet By Chris Ebert Measuring how hot or cool the S&P 500 stock index is can be done by studying some commonly traded stock options known as Covered Calls. Covered Calls almost always return a profit outside of a Bear market, so conversely, if expiring broad-based $SPY Covered Calls are returning a loss, the market […]

Tweet By Chris Ebert There are millions of ways to analyze the stock market, but there are three simple ways of analyzing the S&P 500 through the options market. Covered Call trades are a good indicator of bullish or bearish sentiment, Long Call trades are a good indicator of bullish strength or weakness, and Long […]