Ep16 - OG CC Setups (part II)

Ep16 - OG CC Setups (part II)

Welcome back to Wealth Building with Options! In this episode, we’re diving deep into a trader's secret weapon: the Trade Objective of the covered call strategy — specifically, using covered calls to strategically exit a stock position.

If you’ve ever wondered:

  • How do I get the most out of a stock I already own?
  • What role does theta really play in my premium income?
  • How do I avoid leaving money on the table — or getting assigned too early?

…this episode is for you.

Dan Passarelli breaks down the nuances of “trading out of a stock you own” through smart strike selection, theta analysis, and volatility evaluation — and shares how to do it with confidence, precision, and better returns.

Here’s what you’ll learn:

  • Why traders should treat their trading like a real business — not a side hustle
  • The difference between the Skate Objective and the Trade Objective in covered calls
  • How theta, volatility, and time to expiration impact the effectiveness of your trade
  • The concept of aggregate theta and how to use it to compare expirations for maximum premium collection
  • Why tight bid/ask spreads and avoiding earnings dates are critical to your setup
  • The pros and cons of selling calls on stocks trading near all-time highs
  • How to incorporate both technical resistance and dividend timing into your decision-making

Special Guest: John Kmiecik Dan is joined by trader and educator John Kmiecik, who shares his practical perspective on using theta and premium analysis to fine-tune covered call trades. They dig into real examples, including John’s experience with Comcast shares, and discuss how sometimes the best trade is the one you don’t make.

Listener Challenge: Think about a stock you own that you’d consider selling at a higher price. Would a covered call help you exit at that level while collecting cash along the way? What would make it worth it — and what wouldn’t?

Resources & Mentions:

Subscribe now so you don’t miss Episode 17, featuring a very special guest and even more ways to take your option trading to the next level.

Ready to treat your trading like a business? This is where you start.

Disclosure:

Options involve risk and are not suitable for all investors. Prior to buying or selling an option, investors must read Characteristics and Risks of Standardized Options (ODD) which can be found at https://www.theocc.com/company-information/documents-and-archives/options-disclosure-document

Don’t trade with money you are not prepared to lose. Anything discussed on this show is intended to be generalized information and not intended to be a recommendation to buy or sell any security. The host and guests are not familiar with listeners’ specific situations. For trading information relevant to your specific needs, speak with a licensed broker or advisor.

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Jaksot(86)

Ep86 - Tracking Option Wheel Trade Results

Ep86 - Tracking Option Wheel Trade Results

In this episode, Dan tackles one of the most overlooked parts of trading the Wheel: accurately tracking results over time. A single cash-secured put or covered call doesn't tell the whole story. To un...

29 Syys 24min

Ep85 - Double Dipping When Trading the Options Wheel

Ep85 - Double Dipping When Trading the Options Wheel

Dan explains how certain Wheel trades can create an opportunity to “double dip” by collecting option premium from both sides of a stock position. The strategy is a covered strangle, combining stock ow...

22 Syys 20min

Ep84 - Index Options and The Wheel with Kevin Davitt of Nasdaq

Ep84 - Index Options and The Wheel with Kevin Davitt of Nasdaq

Dan sits down with Kevin Davitt, head of Nasdaq's Index Options Content, to explore the evolution of options markets and how index options can fit into strategies familiar to individual investors. Kev...

15 Syys 51min

Ep83 - Macro Forces Affecting Your Investments: An Interview with Robert Savage of Savage Markets

Ep83 - Macro Forces Affecting Your Investments: An Interview with Robert Savage of Savage Markets

Dan sits down with Robert Savage of Savage Markets to explore the macro forces shaping today's investment landscape. With more than 40 years of experience in global markets, Robert brings a unique per...

8 Syys 35min

Ep82 - AI Prompts for Finding Stock Investments

Ep82 - AI Prompts for Finding Stock Investments

AI can be a powerful research assistant for investors, but only if you know how to ask the right questions. In this episode, Dan shares the AI prompts he uses to research potential stock investments, ...

1 Syys 28min

Ep81 - Master Class on the Wheel

Ep81 - Master Class on the Wheel

As he does during his live weekly Wealth Builder Trade Room, Dan takes listeners inside his own IRA to demonstrate how he manages Wheel trades in real time. He walks through several positions and expl...

25 Elo 28min

Ep80 - Two Guys Talking About the Wheel

Ep80 - Two Guys Talking About the Wheel

Dan sits down with Market Taker Mentoring head coach John Kmiecik for a candid conversation about the Wheel strategy, what they’re seeing from real traders, and why a strategy that can sometimes feel ...

18 Elo 30min

Ep79 - How I Find Wheel Trade Candidates

Ep79 - How I Find Wheel Trade Candidates

Finding a great Wheel trade starts long before choosing a strike price or expiration. In this episode, Dan walks through his step-by-step process for finding candidates for covered calls and cash-secu...

11 Elo 32min

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