Easy Ways to AutoTrade Covered Calls
To autotrade covered calls you need an arrangement with a broker that specializes in this type of service. There are some good ones around while others are pretty average. The best ones make everything easy for you while also assuring security against misappropriation of your funds.
The idea behind auto trading covered calls can be done one of two ways. The first way involves giving a third party access to the funds in your brokerage account so that they can trade on your behalf using your money. The second way is to deposit your funds with a broker that is connected with a covered call advisory service. The broker will place trades according to recommendations provided by the service and within the parameters you specify.
One such broker, based in the USA, is. They offer autotrade services on more than a dozen reputable covered call subscriptions, including 10PercentPerMonth.com, 5 Percent Per Week, Anacott, BigTrends.com, OptionSmart and many others. You simply go to the relevant subscription page where all the services are listed together and click on the “AutoTrade” link against the service of your choice. If you don’t want to autotrade covered calls and prefer to do it yourself, you select the “subscribe” link and will receive recommendations via email or other media.
TradeKing offer some of the lowest brokerage fees for the US markets that I know of – and yet they are right ‘up there’ when it comes to the scope of trading facilities they offer. So if your trading style is to let professionals do all the research and place trades automatically for you, this broker could be an ideal choice.
AutoTrade Covered Calls – Benefits and Risks
There benefits to autotrading covered calls, the most obvious one being that you don’t have to be an a active participant in the trading process – and this means that if your provider is successful at what they do, you’re virtually looking at a passive income stream.
On the other hand, there are risks. If the provider you choose is not competent and places too many bad trades so that you lose money, you have no recourse for reclaiming lost funds because they will be protecting themselves with a disclaimer that leaves the risk entirely in your hands.