Search Covered Call (Indicator)
DisclaimerInput Information
| Name | Expression | Default | Description |
| TargetPrice | Numeric | 50 | Target price of stock on TargetDate. |
| TargetDateYYMMDD | Numeric | 030101 | Date to close position. |
| VolatilityAdjustment | Numeric | 0 | Adjust volatility on the TargetDate. |
| UnderlyingShares | Numeric | 500 | Underlying shares already owned or to buy. |
| UnderlyingCost | Numeric | Close of Asset | Average cost of underlying shares. |
Market Synopsis
Position Search indicators allow you to identify option positions with the highest expected profit based on your market outlook assumptions for the underlying stock or index.
To find the option contract with the best profit potential for your market assumptions
- Apply the Search Buy Call, or Search Covered Call, or Search Write Put if you think the market is going to rise; if you think the market is going to fall, apply the Search Buy Put, or Search Write Call.
- Modify the inputs to the search indicator for your market assumptions, (make sure you are formatting the entire indicator and not just one option.)
- Sort the indicator by the Proj P&L column by double clicking the column header until the options are sorted in descending order. The options are now ranked by best P&L for your assumption.
- Create a position by entering the number of contracts into a blank position column for the position you wish to analyze.
- Review the Position section indicators for Max Gain-Loss.
- Create a Position Chart of the position.
The VolatilityAdjustment input allows you to adjust the future volatility value by adding or subtracting a whole number. (e.g. 5 = Current Volatility plue 5 %, -5 = Current Volatility - 5%)
Position Search indicators are an essential tool for the novice or experienced options trader or investor. For the experienced options trader, it is an excellent way to compare one's own assumptions about profit and risk/reward results, with those of the search indicator. A novice options trader who is unsure of which option to trade based on their market outlook, can easily find the best options to analyze and which ones to avoid.
Plot Information
| Number | Name | Default Style | Description |
| Plot1 | Init Cost | Currency | Plots the initial cost of the position including the stock. |
| Plot2 | Contracts | Number | Plots the number of option contracts to write. |
| Plot3 | Proj P&L | Currency | Plots the projected profit or loss of the position. |
| Plot4 | %Proj P&L | Percentage | Plots the projected percentage profit or loss of the position. |
When applied to the Options pane of OptionStation Analysis, this indicator displays four plots.