It's All About Timing

Playing earnings or playing the strike - know when to pick your spots.

Today we’re going to turn our sort upside down, and look for a minimum level of dividend yield (3%) but then find the names with the highest implied volatility that meet that. This is pushing out the risk spectrum, and these scenarios are ideal for opportunistic trades, rather than investment structures. 

We have an earnings structure in BBY that gives a favorable risk/reward, as well as a watchlist item in SIRI. If stock approaches strike there, covered call dynamics change a lot with a low dollar name.