A covered call stock option strategy involves the buying of stock and selling a call option on that stock. Generally, you would sell call stock options 1 or 2 strike prices out-of-the-money. Keep in mind when you sell your covered call stock options make sure that they are sold with short term expiration dates. Short term stock options are more expensive than longer term stock options.

When you buy option premium you want to have as much time as possible. However, when selling a stock option you desire the opposite condition.

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