All the indicators – Technical and volatility – show the exact same conclusions for the last couple of weeks. The markets are rang-bound and this is good for our dividend capture strategy and other premium seeking strategies, but the premiums are low.
Here is the current market sentiment trend:
We still feel that the dividend capture strategy will pay off – If market will move up – we will earn premiums and dividends, and if the markets will go down – we hold them to longer-term and will have more cash to re-enter the market. Similarly to previous weeks, I’ll be focusing on great companies (8 and above) that have dividends yield of more than 2% (using our new feature) .
As a reminder: I’m looking to open positions in good companies that distribute dividends in the next 5-30 days. I’m selling covered calls on those stocks so I will profit from the dividend and the option premium. You can follow us on Twitter, where we often publish more trade ideas.
The dividend capture watch-list:
(13 Results. Charts are visible on site and not in email)
* I’m Long JPM and Really like T, BMY and CSCO.
Try OptionSamurai for free:
- Analyse those stocks directly in OptionSamurai
- We have a dividend capture scanner that you can use to find trades or customize to fit your needs (you can try in the free demo):