TRADING UPDATE: November is almost over. November is usually a good month. We’ve had a few good days, but then some down days. Don’t get me wrong, I love up and down movements.

Take a look at Novavax (NVAX). The stock as at $1.99. The Jan $2 calls are 25¢ to sell. This would create a covered calls. Let’s do the numbers. We usually use 1,000 shares just to keep the math easy. So 1,000 shares would cost $1,990. Let’s round off the penny to $2,000. Now, we can sell the Jan $2 calls for 25¢ times 1,000 and take in $250 now. This would make us obligated to sell the stock at $2.

$2,000, or $1,000 on margin, generates $250 for a little over a month.

Also check out AMD, SWN, NE, RIG.

Are you listening to the Podcasts? Go to and click away. We recorded another one yesterday. It will be ready soon.


Stock MarketWade Cook