In the episode, Alan Ellman of The Blue Collar Investor analyzes a proposed bear market strategy where a deep out-of-the-money naked call option is sold and if share price moves up to that strike the shares are purchased prior to potential exercise.
The S&P 500 ETF TRUST ETF (SPY) is used to show the pros & cons of such a strategy. The BCI Trade Management Calculator provides the specific calculations for these trades.
Learn more about Alan Ellman on the Blue Collar Investor Website.
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