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Monday, January 3, 2011

Here is the most recent Born To Sell free newsletter.

Seller's Paradise Jan 2, 2011
Happy New Year Covered Call Sellers!2010 is now part of history and we have the opportunity of 2011 ahead of us. Overall last year was a good year to be writing calls: Up a bit, down a bit, and then a strong finish in the last few months. You may have had more positions called away recently, but that probably means you're making money so hooray (and thanks) to the buyers of our call options.

MNKD And 3 Other Covered Calls For Jan 22 Expiration. Special congrats to Born To Sell members who chose MNKD (MannKind Corp) covered calls for the January option cycle (there are a lot of you). It is the #1 most commonly held position for the January cycle among our subscribers. The premiums were rich a few weeks ago and Born To Sell members took advantage by selling in-the-money covered calls.Then last week came the announcement that the FDA needed 4 more weeks to render a decision on their inhaled insulin product Afrezza. This pushed the expected decision date past the January option expiration and the Jan options lost tremendous time premium (a boon for anyone who had shorted them) while the stock barely moved. Glad our screener (and our Top 10 list) could help make you aware of the opportunity.

With 3 weeks to go until the January options expire, the top 4 covered calls Born To Sell members have written are (in order of popularity):
1.MNKD7.5
2.AAPL330
3.ISPH7.5
4.NFLX170
(Note: Born To Sell members have access to the full Top 10 Covered Call list, as well as having this list update real-time as members change positions.)

Higher Interest Rates In 2011?2011 will most likely see an increase in interest rates from where we are today. This is not good news for people who own bonds, but there is a way to profit from rising interest rates (or hedge against them, depending on your bond exposure) by using covered calls, and it's the subject of our most recent blog posting: Rising Interest RatesMany experts agree that we will experience rising interest rates in 2011. If the economy falters and the dollar weakens, rates will rise as the US debt rating comes under pressure. Or, if the economy recovers then higher employment will increase inflation which will cause interest rates to rise. Either way, it looks like rates are heading higher...read more

Top 8 Covered Call Watchlist Stocks and ETFsCurrently, the top 8 stocks Born To Sell members are using for their Watchlist are (in order of popularity):
1.AAPL
2.F
3.MSFT
4.CSCO
5.NFLX
6.BIDU
7.BAC
8.GOOG
(Note: Born To Sell members have access to the full Top 20 Watchlist, as well as having this list update real-time as members change their watchlists. And, you can have the highest yielding covered calls from your personal watchlist emailed to you after the close each day. Never miss a fat premium from your watchlist again!)

New IRS Rules For Reporting Cost Basis Start In 2011Starting in 2011 the IRS is requiring brokers to report cost basis on all stock purchased after Jan 1, 2011, on the Form 1099-Bs that they send to their clients. Form 1099 has always reported your sales proceeds; now it will include your cost basis as well.

Want More Covered Call Goodness?Born To Sell is dedicated to only one thing: Making Money With Covered Calls. Our subscribers have access to state-of-the-art covered call screeners and covered call portfolio management tools. For less than the profit of a single trade you could be enjoying recurring monthly income using our tools. Three subscription types to choose from:

TermPriceMonthly$59.95, Quarterly$149.95 (17% discount), and Annual$499.95 (31% discount)
Plus, all subscriptions begin with a no-obligation 2-week free trial. What are you waiting for?

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