Covered Call Easy Passive Income For Beginners | Interactive Brokers Tutorial

Interactive Brokers kvli.link/ibkr
Free Options spreadsheet ko-fi.com/s/94f3ab6baf
INVESTING
► Interactive Brokers kvli.link/ibkr
► Webull (free stock) kvli.link/webull
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► moomoo US (free stocks) kvli.link/moomoous
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ROBOADVISORS
► Endowus (free $20) kvli.link/endowus
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► StashAway (50% off fees) kvli.link/stashaway
► AutoWealth (free $20) CODE "KelvinLearnsInvesting" kvli.link/autowealth
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CRYPTO
►‌ Gemini (free $10) kvli.link/gemini
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► Ledger kvli.link/ledger
► Trezor kvli.link/trezor
RESEARCH
► Seeking Alpha (offer price) kvli.link/seekingalpha
► Simply Wall St kvli.link/simplywallst
► TradingView kvli.link/tradingview
PAYMENT
► Trust Bank (free $10) CODE "R2MQBA4S" kvli.link/trust
► Instarem Amaze CODE "plTefu" kvli.link/amaze
► CardUp ($30 off) CODE "KELINVEST" kvli.link/cardup
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► DBS Paylah (free $5) CODE "AHVULE614"
► FavePay (free $1) CODE "FAVETANKEL" kvli.link/fave
LIFESTYLE
‌► Envato kvli.link/envato
►‌ ‌Ohmyhome kvli.link/ohmyhome
0:00 - Intro
0:31 - What’s a covered call
1:36 - Different scenarios
3:25 - Profit loss chart
4:22 - Recommended settings
7:03 - How to sell covered call
8:40 - Close your positions early!
9:40 - How to close position
10:36 - Tips
12:31 - Conclusion
None of this is meant to be construed as investment advice. It's for entertainment purposes only. Links above include affiliate commission or referrals. I'm part of an affiliate network and I receive compensation from partnering websites.

[@KelvinLearnsInvesting]

Interactive Brokers kvli.link/ibkr Free Options spreadsheet ko-fi.com/s/94f3ab6baf INVESTING ► Interactive Brokers kvli.link/ibkr ► Webull (free stock) kvli.link/webull ► moomoo Futu SG (free stock) kvli.link/moomoo ► Tiger Brokers (free stock) kvli.link/tiger ► CMC Invest kvli.link/cmcinvest ► Longbridge kvli.link/longbridge ► uSMART (free stock) kvli.link/usmart ► ProsperUs (free stock) CODE "KELVIN20" kvli.link/prosperus ► POEMS Cash Plus kvli.link/poems ► Saxo kvli.link/saxo ►‌ FSMOne CODE "P0425931" kvli.link/fsmone ► moomoo US (free stocks) kvli.link/moomoous ► Syfe kvli.link/syfe ► StocksCafe kvli.link/stockscafe ROBOADVISORS ► Endowus (free $20) kvli.link/endowus ► Syfe kvli.link/syfe ► MoneyOwl (free $20) kvli.link/moneyowl ► StashAway (50% off fees) kvli.link/stashaway ► AutoWealth (free $20) CODE "KelvinLearnsInvesting" kvli.link/autowealth ► UOBAM Invest kvli.link/uobaminvest CRYPTO ►‌ Gemini (free $10) kvli.link/gemini ► KuCoin kvli.link/kucoin ► Crypto.com app (free $25) CODE "kelvinlearnsinvest" kvli.link/cryptoapp ► Crypto.com exchange CODE "kelvinlearnsinvest" kvli.link/cryptoexchange ► Coinhako (20% discount) kvli.link/coinhako ►‌ Coinbase (free $10) kvli.link/coinbase ►‌ Independent Reserve kvli.link/independentreserve ►‌ Tokenize Xchange kvli.link/tokenize ► Ledger kvli.link/ledger ► Trezor kvli.link/trezor RESEARCH ► Seeking Alpha (offer price) kvli.link/seekingalpha ► Simply Wall St kvli.link/simplywallst ► TradingView kvli.link/tradingview PAYMENT ► Trust Bank (free $10) CODE "R2MQBA4S" kvli.link/trust ► Instarem Amaze CODE "plTefu" kvli.link/amaze ► CardUp ($30 off) CODE "KELINVEST" kvli.link/cardup ► ipaymy kvli.link/ipaymy ► Revolut kvli.link/revolut ► YouTrip (free $5) kvli.link/youtrip ► BigPay (free $5) CODE "QBHVUHL7HU" kvli.link/bigpay ► Wise (free transfer) kvli.link/wise ► SIA Kris+ (free $5) CODE "T425139" kvli.link/krisplus ► DBS Paylah (free $5) CODE "AHVULE614" ► FavePay (free $1) CODE "FAVETANKEL" kvli.link/fave LIFESTYLE ‌► Envato kvli.link/envato ►‌ ‌Ohmyhome kvli.link/ohmyhome

[@chesszz]

Thanks for sharing! TD has this function to allow rolling of options which allows to me to close and sell new covered call, while showing the overall debit/ credit when rolling. Any idea if the same can be done on IBKR? I tried to find it on the mobile app but failed :(

[@user-cd7ex4qe6i]

Hi Kelvin, can I first invest the cash in Moomoo Cash Plus fund to do a Cash Covered Put and then later withdraw out if I need to buy the stock? Does it has enough time to do so?

[@dennisgoh5485]

Would like to ask say i sold a covered call od tesla for 2 weeks till end jan for strike price of 260. Say on jan 15th the price hit 272 but dipped bavk to 250 on expiry at end of period. Will my shares be sold since it exceeded the 260 but dropped down at expiry of contract?

[@jameslee9742]

Hi Kevin, the exchanges in Spore which give the best premium for sell put & Sell calls ? Moomo, webull or ibkr ? Btw thanks for making these videos

[@filmorder8437]

Do you know what's the difference between a sell order(credit) vs a buy order with a negative value (also credit)?

[@kentohfu]

hi kelvin, do you trade? what broker in singapore is trusted and recommended?

[@user-ip7yf3ii2k]

Hi Kelvin, how to see from portfolio what is the earnings we get from closing a put option before the expiry date?

[@lawjeffrey5722]

Thank you!

[@andrewkoh8415]

Useful information. Thanks

[@thespacejedi]

Just curious, why did you buy call options at 8:30? Is that you rolling your option?

[@KelvinLearnsInvesting]

Just closing my option

[@boontonglee2481]

after selling 100 share tesla call option which expires in a week, can i sell and buy back the 100 share during the next trading days but make sure i have 100 shares by end of each trading days?

[@idrysthian]

Great content! Kelvin what do u use to analyse ur options strategy in the video ?

[@bernardgiel1852]

Thank you. How does IBKR know that the strategy is covered call or naked call (if you have stocks and money) ? Who sells the stocks for a covered call ? IBKR or me ?

[@thetuvaluan]

Thank you my friend...thumbs up!

[@diokleslim239]

Thank you so much 😊

[@Tom-USA-number1]

Excellent content, keep up the good work.

[@sylves5788]

hi kelvin, i can't see the delta which you see on your IBKR screen when i navigate to option chain page. How do you get the Delta column shown?

[@KelvinLearnsInvesting]

Above the option chain table, at the left of the expiration dates, you'll see something like ||| Click on it > Manage Columns > Then add Delta

[@stormagain999]

Optionsai is not available outside US, any other alternative to this we can use

[@MartinJofre]

Hi, thanks for the video it was really usefull. Can you explain how to roll covered call options in IKBR? Thanks!

[@michaelwoon7834]

Kelvin, to make it comprehensive. Hope u can do a sell put video also. 🙏

[@dennisgoh5485]

Yes ...pls do one for sell put

[@user-cd7ex4qe6i]

There is alrdy one. Please search under his Playlist "Option 101".

[@bryanng2502]

Hi sorry just to clarify in order to receive the premium earned from writing the contract someone must first buy the call option from you right?

[@KelvinLearnsInvesting]

Yup!

[@thewongtube]

Hi I think there is an error. Delta is the rate at which the option value changes per dollar movement in the underlying stock. It is not the probability of the option expiring OTM.

[@KelvinLearnsInvesting]

It is both. Check this out “Delta is commonly used when determining the likelihood of an option being in-the-money at expiration. For example, an out-of-the-money call option with a 0.20 delta has roughly a 20% chance of being in-the-money at expiration, whereas a deep-in-the-money call option with a 0.95 delta has a roughly 95% chance of being in-the-money at expiration.” www.investopedia.com/trading/getting-to-know-the-greeks/

[@diokleslim239]

Thank you

[@jiaweiliu5226]

Are you able to demo with real life example instead? I cannot find any stock which is around $100 with a premium $3 or close. A bit mislead by using a high premium example.

[@kelvinkelvin8026]

He is paving way for his Option course for 2024, you may be able to get to that level of details if you are willing to pay to join his course in future 😜

[@lawrencelim8324]

Very useful for beginners

[@chartan8527]

Hi Kelvin, we have to buy the options first before we can sell?

[@KelvinLearnsInvesting]

No need. For covered call, u only need to have 100 stocks, then can start selling call

[@lordbluefire6335]

bro how to buy $olas in singapore

[@rockonmetal5543]

Did you sell call or buy call? Also, please explain the difference between limit order and market order. Thanks!

[@user-cd7ex4qe6i]

I think this strategy is about selling Covered Call so is a sell call. Limit order is you state the price you wish to buy, usually is higher than Market price so it may take times to fill, whereas Market Order is immediate fill order based on existing available market price.

[@user-cd7ex4qe6i]

Hi Kelvin, can you recommend some affordable stocks for Covered Call for Beginner?

[@onlyusemephone]

The optionsai that was used in the video is it a paid version ?

[@KelvinLearnsInvesting]

It's free!

[@michaeljoseph9770]

Can we do on Tiger?

[@mrhulls]

If the price gets to the strike, does interactive broker automatically sell you stocks?

[@KelvinLearnsInvesting]

It's not always. It depends on whether the option buyer exercise the option or not, if he/she exercises, you'll get assigned

[@Sleepymeinsg]

So if the only risk is not maximising profit then there's no scenario where you will lose money or am I missing something?

[@KelvinLearnsInvesting]

Yes, if the call is covered, the only risk is missing out on potential gains.

[@Scrypt1]

the risk here is that the stock you choose has to be good. but some find it hard to stick to a good stock

[@Jawbonegolf]

You also don’t want the stock to drop significantly as you will have those unrealized losses but will make it less appealing to continue selling covered calls

[@ngym20s]

Can do video for bull put spread using moo moo

[@tomasyan4333]

What trading platform you use? Can you teach us how to use the platform?

[@junji19921223]

I SAW A TYPO HAHAHAH!! See step 4 😅

[@persieprince9345]

But Kevin it required a lot of capital 😂 so we only got covered etfs 😅

[@mikegerasymov5646]

Big disappointment. Promoting “delta hedging” to the public is like teaching kindergarten how to operate nuclear reactor. You better suggest they go and get a degree in finance first. And it is funny that you call it a “passive income”. It is a full time job. Passive is the right strategy for you to end up naked selling “calls”.