Many ppl use them to close out if a position. If you wanna exit, just sell the shares. Can’t tell you how many ppl I have seen that wanna sell their over valued shares so they get greedy to sell CCs to pick up peanuts in premium. Meanwhile the shares fall 40% and they hold the bag down... Just sell your shares. Don’t complicate it.
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Covered Calls can be a MAJOR trap...
Many ppl use them to close out if a position.
If you wanna exit, just sell the shares.
Can’t tell you how many ppl I have seen that wanna sell their over valued shares so they get greedy to sell CCs to pick up peanuts in premium.
Meanwhile the shares fall 40% and they hold the bag down...
Just sell your shares.
Don’t complicate it.