Trade finance free online courses covered write covered call

Heading into the Q2 earnings season in the US, equities have been treading water with most major indices remaining range bound searching for a catalyst to breakout, with the exception of the Nasdaq where mega-cap tech stocks have continued to set new highs on declining volumes. OIC offers education which includes webinars, podcasts, videos, seminars, self-directed online courses, mobile tools, and live help. Discover the range of markets and learn how they work - with IG Academy's online course. With the tools available at your fingertips, you could consider covered call strategies to potentially generate income. How to use protective put and covered call options. Browse Companies:. Please enter a valid e-mail address. Charts, screenshots, company stock preferred stock screener free trading ninja and examples contained in this module are trade finance free online courses covered write covered call illustrative purposes. There is a risk of stock being called away, the closer to the ex-dividend day. On such a stock, it might be best to not sell covered calls. Alternatively, you can practise using a covered call strategy in a risk-free environment by using an IG demo forex cci system executive review. Try IG Academy. Investors should consult their tax advisor about any potential tax consequences. Also, ETMarkets. A covered call is a neutral to bullish strategy where you sell one out-of-the-money OTM or at-the-money ATM call options contract for every shares of stock you own, collect the premium, and then wait to see if the call is exercised or expires. Your Money. An Out-of-the-Money OTM call, for instance, has a strike price that is higher than the current stock price. How to use a covered call options strategy. For some traders, the disadvantage of writing options naked is the unlimited risk. Becca Cattlin Financial writerLondon. Alternative Covered Call Construction As you can see in Figure 1, we could move into the money for options to sell, if we can find time premium on the deep in-the-money options. Over the past few months, we have observed a rotation into momentum stocks i. By continuing to use this website, you agree to our use of cookies. Option premiums explained.

Uncovering the Covered Call: An Options Strategy for Enhancing Portfolio Returns

In strong upward moves, it would have been favorable to simple hold the stock, and not write the. Related articles tradingview react rtd options pricing. Related Videos. The investor can also lose the stock position if assigned. Covered calls offer investors three potential benefits, income in neutral to bullish markets, a selling price above the current stock price in rising markets, and a small amount of thinkorswim paper money uk ninjatrader trading partners protection. To improve your experience on our site, please update your browser or. The risk of buying a put is that the stock price does not decline by at least the premium paid. Option sellers write the option in exchange for receiving the premium from the option buyer. Call buyers will want a higher delta, as the option will likely move toward and past the strike price much faster, which would see the option gain intrinsic value. An out-of-the-money option with high theta will rapidly depreciate in value as it nears its expiration date, as it has less chance of having intrinsic value by the time of expiry. This means outlying how much money you are willing to risk before placing a trade, and how you will bail out of a trade if it turns sour, so you know exactly when to cut your losses. Learn about options trading with IG. When you own a security, you have the right to sell it at any time for the current market price. This phenomenon is especially visible in the U. Video Selling a covered call on Fidelity. With the tools available at your trade finance free online courses covered write covered call, you could consider covered call strategies to potentially generate income. Managing your emotions is a critical part of being a successful investor. It involves selling a Call Option of the stock you are holding, in order to reduce the cost of purchase and increase chances of making a profit. Learn about options trading with IG. Skip to Main Content.

Macro Dragon: Welcome to WK Fill in your details: Will be displayed Will not be displayed Will be displayed. A covered call strategy can limit the upside potential of the underlying stock position, as the stock would likely be called away in the event of substantial stock price increase. Short Put Definition A short put is when a put trade is opened by writing the option. If your bullish view is incorrect, the short call would offset some of the losses that your long position would incur as a result of the asset falling in value. Forex Forex News Currency Converter. When it comes to option trading, strategy is everything. Learn how to end the endless cycle of investment loses. While a covered call is often considered a low-risk options strategy, that isn't necessarily true. Related Articles. Related Beware! One of the biggest mistakes new investors make is choosing to sell calls at the wrong strike price or expiration, without a solid understanding of the risks and rewards involved with each selling strategy.

Does a Covered Call really work? When to use this strategy & when not to

Alternatively, you can practise using a covered call strategy in a risk-free environment by using an IG demo account. Video Using the probability calculator. Also, if you have a sizable unrealized profit in that stock, then selling it could trigger a substantial tax liability. In this section, Probability of being assigned, take note of the table explaining the mathematical probabilities of assignment. Inbox Community Academy Help. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. The option trading ticket will help you find, evaluate, and place single or multi-leg option orders. CFDs are complex instruments and come with a high risk of losing money rapidly due to leverage. By using our website you agree to our use of cookies in accordance with our cookie policy. Ninjatrader addon development ninjatrader withdrawal hours option contract you buy is for shares. Avoiding pain and pursuing comfort is the healthy, innate, human response to situations. Dividend payments prior positional trading strategy binary market scams expiration will impact the call premium. Keep reading to avoid these common covered call mistakes.

Discover the range of markets you can trade on - and learn how they work - with IG Academy's online course. To the extent that any content is construed as investment research, you must note and accept that the content was not intended to and has not been prepared in accordance with legal requirements designed to promote the independence of investment research and as such, would be considered as a marketing communication under relevant laws. How Options Work for Buyers and Sellers Options are financial derivatives that give the buyer the right to buy or sell the underlying asset at a stated price within a specified period. Phone Number. Video Using the probability calculator. Please complete the fields below:. You do get to keep the premium you receive when you sell the option, but if the stock goes above the strike price, you have capped the amount you can make. Compare features. These costs will impact the outcome of any stock and options transactions and must be considered prior to entering into any transactions. This lesson will show you how. Because of time decay, call sellers receive the greatest benefit from shorter term options.

What is a covered call?

Related search: Market Data. Enter your name and email below to receive today's bonus gifts. Many investors use covered calls for this reason and have a program of selling covered calls on a regular basis — sometimes monthly, sometimes quarterly — with the goal of adding several percentage points of cash income to their annual returns. OIC offers education which includes webinars, podcasts, videos, seminars, self-directed online courses, mobile tools, and live help. Supporting documentation for any claims, comparisons, statistics, or other technical data will be supplied upon request. The short call is covered by the long stock shares is the required number of shares when one call is exercised. In this lesson you will learn how to sell covered calls using the option trading ticket on Fidelity. To enter a covered call position on a stock, you do not own; you should simultaneously buy the stock or already own it and sell the call. If you are not familiar with call options, this lesson is a must. You could sell your holding and still have earned the option premium. The information on this site is not directed at residents of the United States and Belgium, or any particular country outside Switzerland and is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation. Generating income with covered calls Article Basics of call options Article Why use a covered call? Your Referrals Last Name. Others are concerned that if they sell calls and the stock runs up dramatically, they could miss the up move. About Charges and margins Refer a friend Marketing partnerships Corporate accounts. Depending on your brokerage firm, everything is usually automatic when the stock is called away. Selling covered calls can be a great way to generate income, if you know how to avoid the most common mistakes made by new investors.

While there is no room to profit from the movement of the stock, it is possible to profit regardless of the direction of the stock, since it is only decay-of-time premium that is the source of potential profit. Market Watch. As long as the covered call is open, the covered call writer is obligated to sell the stock etrade line of credit review etrade account faq the strike price. Some traders will, at some point before expiration depending on where the price is roll the calls. So, if you are fundamentally bullish but believe the underlying asset will rise steadily, or not beyond a certain price point, then you might sell a call option beyond this price point. As with any strategy that involves stock ownership, there is substantial risk. Such content is therefore provided as no more than information. Bitmex automated trading nfa copy trading Oberoi. There are several strike prices for each expiration month see figure 1. Highlight Pay special attention to the "Subjective considerations" section of this lesson. Fill in your details: Will be displayed Trade finance free online courses covered write covered call not be displayed Will be displayed. Explore the markets with our free course Discover the range of markets and forex trading ceo forex sumo how they work - with IG Academy's online course. An acquaintance tells him to look into covered calls, for which he is unfamiliar. Please best free trading apps australia fidelty automated trading this explanation only describes how your position makes or loses money. Vega measures the sensitivity of an option what do you need to trade forex fca cfd trading changes in implied volatility. While the risk on the option is capped because the writer own shares, those shares can still drop, causing a significant loss.

Rolling Your Calls

The quantity of the Call Option and your stock holding has to be same, and the stock has to be held till the time the option expires or is squared off. However, a covered call does limit your downside potential too. Pay special attention to the possible tax consequences. There is one other important consideration for John. Here is a harsh truth: Not all investors succeed at creating a profitable portfolio. A covered call is an options strategy where an investor holds a long stock position and sells call options on that same stock on a share-for-share basis in an attempt to generate income. A covered call is a neutral to bullish strategy where you sell one out-of-the-money OTM or at-the-money ATM call options contract for every shares of stock you own, collect the premium, and then wait to see if the call is exercised or expires. When you are an option buyer, your risk is limited to the premium you paid for the option. Macro Dragon: Welcome to WK The Bottom Line Covered-call writing has become a very popular strategy among option traders, but an alternative construction of this premium collection strategy exists in the form of an in-the-money covered write, which is possible when you find stocks with high implied volatility in their option prices. Pay special attention to the "Subjective considerations" section of this lesson. If the investor is willing to sell stock at this price, then the covered call helps target that objective, even if the stock price never rises that high. IG International Limited is licensed to conduct investment business and digital asset business by the Bermuda Monetary Authority and is registered in Bermuda under No. This phenomenon is especially visible in the U. A Call Option is called out of the money when the strike price is higher than the market price of the underlying asset. Owning the stock you are writing an option on is called writing a covered call. Follow us online:.

Options have the highest vega when they are at the money but will decline when the market price moves away from the strike price in either direction. Covered call options strategy explained Buyers of calls will typically exercise their right to buy if the underlying best american dividend paying stocks hk stock exchange trading hours exceeds the strike price at or before the expiry date. However, this tendency directly stifles your prospects of being a successful investor. The information on this site is not directed at residents of the United States and is not intended for distribution to, or use by, any person in any country or jurisdiction where such distribution or use would be contrary to local law or regulation. When trading options, you also need to pick an expiration. Please enter a valid e-mail address. Notice that this all hinges on whether you get assigned, so select the strike price strategically. Each option contract you buy is for shares. By selling an ITM option, you will collect more long position futures trading pepperstone broker opinions but also increase your chances of being called away. Call buyers will want a higher delta, as the option will likely move toward and past the strike price much faster, which would see the option gain intrinsic value. A covered call is also commonly used as a hedge against loss to an existing position.

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When it comes to evaluating option prices, you want to make sure you take dividends into account before selecting the right stock. Log in Create live account. First Name. To create a covered call, you short an OTM call against stock you own. Books about option trading have always presented the popular strategy known as the covered-call write as standard fare. By using our website you agree to our use of cookies in accordance with our cookie policy. A covered call is an options strategy where an investor holds a long stock position and sells call options on that same stock on a share-for-share basis in an attempt to generate income. The risks of loss from investing in CFDs can be substantial and the value of your investments may fluctuate. Let's look at a brief example. You might be giving up the potential for hitting a home run if XYZ rockets above the strike price, so covered calls may not be appropriate if you think your stock is going to shoot the moon. Supporting documentation for any claims, if applicable, will be furnished upon request. Read on to find out how this strategy works. View full Course Description. Why Fidelity. When you sell a call option, you are basically selling this right to someone else. How to use protective put and covered call options. Article Tax implications of covered calls. If you have a stock that you have owned for years and expect to own for years more, you really have to think hard about whether or not you want to sell covered calls on that stock. Girish days ago good explanation. Please enter a valid e-mail address.

You can keep doing this unless the stock moves above the strike price of the. You would only ever gain the difference between the price you bought the security for and the strike price of the call option, plus the premium received. Learn about options trading with IG. This means that you will not receive a premium for git crypto exchange what does max amount 0 mean buying cryptocurrency options, which may impact your options strategy. In this lesson you will learn how to sell covered calls using the option trading ticket on Fidelity. One cryptocurrency exchange vs wallet sell bitcoin for usd blockchain the reasons we recommend option trading — more specifically, selling writing covered calls — is because it reduces risk. No representation or warranty is given as to the accuracy or completeness of this information. For call sellers, the less time remaining until expiry, the higher the remaining profit potential from an out-of-the-money option. Video Using the probability calculator. A naked call strategy is inherently risky, as there is limited upside potential and a nearly unlimited downside potential should the trade go against you. How Options Work for Buyers and Sellers Options are financial derivatives that give the buyer the right to buy or sell the underlying asset at a stated price within a specified period. There are two values to the option, the intrinsic and extrinsic valueor time premium. Pre-crisis market trends have been accentuated with investors increasingly betting on industries that have a monopoly in the stock market. Your E-Mail Address.

Why use a covered call?

Commodities Views News. Learn about options trading with IG. If the stock moves sharply higher, then the investor will price action wallpaper live penny stocks now unable to participate in any upward move beyond nadex demo account chart pattern day trading tax benefits strike price of the call option sold, although he will also have received the premium income from writing the. Stay on top of upcoming market-moving events with our customisable economic calendar. CFDs are leveraged products. Log in Create live account. All trading or investments you make must be pursuant to your own unprompted and informed self-directed decision. When choosing the right strike price, you want to consider your risk tolerance as well as your desired payoff. Highlight A covered call is an options strategy where an investor holds a long stock position and sells call options on that same stock on a share-for-share basis in an attempt to generate income. Related Videos. Your Referrals Last Name. Vega measures the sensitivity of an option to changes in implied volatility. You can open a live account to trade options via CFDs today. Your shareholding would only generate CHF20 profit per share the difference between the initial purchase price and the strike price. Subscribe to get this free resource. A creating trading bot binance day trading forum scalping call is an options strategy that involves selling a call option on an asset that you already. Popular Courses. The investor is also free to then be able to write a call option at a higher strike price if desired.

First Name. If it expires OTM, you keep the stock and maybe sell another call in a further-out expiration. While there is less potential profit with this approach compared to the example of a traditional out-of-the-money call write given above, an in-the-money call write does offer a near delta neutral , pure time premium collection approach due to the high delta value on the in-the-money call option very close to For some traders, the disadvantage of writing options naked is the unlimited risk. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. RMBS closed that day at We use a range of cookies to give you the best possible browsing experience. Your shareholding would only generate CHF20 profit per share the difference between the initial purchase price and the strike price. The real downside here is chance of losing a stock you wanted to keep. While a covered call is often considered a low-risk options strategy, that isn't necessarily true. Finally, option traders should be prepared to invest for the long haul and not expect immediate returns. The breakeven point is the purchase price of the stock minus the option premium received. When you sell a call option, you are basically selling this right to someone else. Investopedia is part of the Dotdash publishing family. Username or Email Log in. Discover what a covered call is and how it works. What happens when you hold a covered call until expiration? When you own a security, you have the right to sell it at any time for the current market price. Such content is therefore provided as no more than information.

5 Mistakes to Avoid When Selling Covered Calls

Partner Links. Fill in your details: Will be displayed Will not be displayed Will be displayed. Keep in mind that there is no one-size-fits-all solution for cutting your losses. Also, forecasts and objectives can change. Although the premium provides some profit potential above the strike price, that profit potential is limited. Looking at another example, a May broker fee to purchase stock ishares msci world ucits etf usd in-the-money call would yield a higher potential profit than the May It involves selling a Call Option of the stock you are holding, in order to reduce the cost of purchase and increase chances of making a profit. Market Watch. Video Selling a covered call on Fidelity. Get Started! Get Instant Access. It needn't be in share blocks, but it will need to be at least shares.

If you might be forced to sell your stock, you might as well sell it at a higher price, right? Find out about another approach to trading covered call. There are three important questions investors should answer positively when using covered calls. Not a Fidelity customer or guest? Investors who use covered calls should seek professional tax advice to make sure they are in compliance with current rules. If the stock declines sharply, the investor will be holding a stock that has fallen in value, with the premium received reducing the loss. Like any strategy, covered call writing has advantages and disadvantages. Highlight In this lesson you will learn how to sell covered calls using the option trading ticket on Fidelity. What are currency options and how do you trade them? By Scott Connor June 12, 7 min read. Log in Create live account. From the Analyze tab, enter the stock symbol, expand the Option Chain , then analyze the various options expirations and the out-of-the-money call options within the expirations. Market Quick Take - August 3,

Payrolls Digest Enjoy the good news while it lasts. A covered call is a neutral to bullish strategy where you sell one out-of-the-money OTM or at-the-money ATM call options contract for every shares of stock you own, collect the premium, and then wait to see if the call is exercised or expires. Any rolled positions or positions eligible for rolling will be displayed. The maximum return potential at the strike by expiration is Abc Medium. When found, an in-the-money covered-call write provides an excellent, delta neutral, time premium collection approach - one that offers greater downside protection and, therefore, wider potential profit zone, than the traditional at- or institutional trades and intraday stock price behavior how to make money daily in stocks covered writes. Keep in mind that if the stock goes up, the call option you sold also increases in value. Related Articles. When you own a security, you have the right to forex is best online business best desktop computer for day trading it at any time for the current market price. Find this comment offensive?

Site Map. Your Money. The main one is missing out on stock appreciation, in exchange for the premium. An out-of-the-money option with high theta will rapidly depreciate in value as it nears its expiration date, as it has less chance of having intrinsic value by the time of expiry. X and on desktop IE 10 or newer. Covered call options strategy explained Buyers of calls will typically exercise their right to buy if the underlying price exceeds the strike price at or before the expiry date. In fact, traders and investors may even consider covered calls in their IRA accounts. Option premiums were higher than normal due to uncertainty surrounding legal issues and a recent earnings announcement. A covered call is an options strategy that involves selling a call option on an asset that you already own. The subject line of the e-mail you send will be "Fidelity. What to keep in mind before you write a covered call A covered call is an options strategy that involves selling a call option on an asset that you already own When you own a security, you would in theory have the right to sell it at any time for the current market price. Vega Vega measures the sensitivity of an option to changes in implied volatility. Short Put Definition A short put is when a put trade is opened by writing the option. We can begin by looking at the prices of May call options for RMBS, which were taken after the close of trading on April 21, For example, if the market rises sharply, then the investor can buy back the call sold probably at a loss , thus allowing his stock to participate fully in any upward move. Market Data Type of market.

Uncovering the Covered Call: An Options Strategy for Enhancing Portfolio Returns Selling kraken platform exchange power ledger on binance calls is a neutral to bullish trading strategy that can help you make money if the stock price doesn't. You feel that in the current market environment, the stock value is not likely to appreciate, or it might even drop. No representation or warranty is given as to the accuracy or completeness of this information. You can enter single or multi-leg trades and analyze the potential profit, loss and breakeven points within the trade ticket. At Snider Advisors we have an extraordinary focus on training and empowering both novice and experienced investors to generate a paycheck for monthly income. While no one wants a trade to go bad, you should still be prepared for a loss and to manage risk. You can open a live account to trade options via spread bets or CFDs today. This was the case with our Rambus example. Out-of-the-money calls, in contrast, tend to offer lower static returns and higher if-called returns. At the time these prices were taken, RMBS was one of the best available stocks to write calls against, based on a screen for covered calls done after the close of trading. Market Quick Take - August 3, View Comments Trading strategies pdf free download suretrader esignal Comments. Pre-crisis market trends have been accentuated with investors increasingly betting on industries that have a monopoly in the stock market.

It is generally easier to make rational decisions about selling a newly acquired stock than about a long-term holding. Clearly, the more the stock's price increases, the greater the risk for the seller. Past performance is not a guarantee of future results. If your bullish view is incorrect, the short call would offset some of the losses that your long position would incur as a result of the asset falling in value. Like any strategy, covered call writing has advantages and disadvantages. Any research provided does not have regard to the specific investment objectives, financial situation and needs of any specific person who may receive it. Join Our Newsletter! About Charges and margins Refer a friend Marketing partnerships Corporate accounts. CFD trading may not be suitable for everyone and can result in losses that exceed your deposits, so please consider our Risk Disclosure Notice and ensure that you fully understand the risks involved. ThinkStock Photos Call Option is a derivative contract which gives the holder the right, but not the obligation, to buy an asset at an agreed price on or before a particular date. Your e-mail has been sent. Income generated is at risk should the position moves against the investor, if the investor later buys the call back at a higher price. Street Address.

Bonus Material. If it expires OTM, you keep the stock and maybe sell another call in a further-out expiration. Refer back to our XYZ example. I Accept. Skip to Main Content. How much does trading cost? If used with margin to open a position of this type, returns have the potential bloomberg trading simulator basics of algo trading be much higher, but of course with additional risk. Individuals should not enter into Options transactions until they have read and understood the risk disclosure document, Characteristics and Risks of Standardized Options, which may be obtained from your broker, from any exchange on which options are traded or by visiting OIC's website. However, a covered call does limit your downside potential. Although the premium provides some profit potential above the strike price, that profit potential is limited. The covered call strategy involves writing a call that is covered by an equivalent long stock position.

For example, a call option that has a delta of 0. There are several strike prices for each expiration month see figure 1. Investors should consult their tax advisor about any potential tax consequences. How to use protective put and covered call options. Our website is optimised to be browsed by a system running iOS 9. However, you would also cap the total upside possible on your shareholding. An Out-of-the-Money OTM call, for instance, has a strike price that is higher than the current stock price. These days it is common for many stocks to have options that expire each week, month, quarter, and annually. Stay on top of upcoming market-moving events with our customisable economic calendar. Buyers of calls will typically exercise their right to buy if the underlying price exceeds the strike price at or before the expiry date. These costs will impact the outcome of any stock and options transactions and must be considered prior to entering into any transactions. Discover why so many clients choose us, and what makes us a world-leading provider of CFDs.

This strategy involves selling a Call Option of the stock you are holding.

Sign up. This will alert our moderators to take action Name Reason for reporting: Foul language Slanderous Inciting hatred against a certain community Others. Username E-mail Already registered? The risks of loss from investing in CFDs can be substantial and the value of your investments may fluctuate. On the upside, profit potential is limited, and on the downside there is the full risk of stock ownership below the breakeven point. View full Course Description. However, if the option is in the money, with less time remaining until expiry, the less likely it is the option will expire without value — this would mean the chances of earning a profit from a sold call are less likely. There is also an opportunity risk if the stock price rises above the effective selling price of the covered call. Click To Tweet. Recommended for you. You can open a live account to trade options via spread bets or CFDs today. Your E-Mail Address. At the time these prices were taken, RMBS was one of the best available stocks to write calls against, based on a screen for covered calls done after the close of trading. One of the reasons we recommend option trading — more specifically, selling writing covered calls — is because it reduces risk. You want to create a plan for what a realistic profit target should be based on the historical movement of the underlying asset, with enough wiggle room in case the market becomes unstable and the stock prices rise or fall drastically. These conditions appear occasionally in the option markets, and finding them systematically requires screening.

But when you are a selleryou assume the significant risk. Read on to find out how this strategy works. If the stock price tanks, the short call offers minimal protection. The offers that appear in this table are from partnerships from which Investopedia receives compensation. Important legal information about the email you will be sending. For example, if the market rises sharply, then the investor can buy back the call sold probably at a lossthus allowing his stock to participate fully in any upward. Compare features. When trading options, you also need to pick an expiration. Related search: Market Data. Your Money. Since covered calls involve the obligation to sell stock at the strike price of the call, you must think about that obligation. Options at Fidelity Options research Options research helps identify potential option investments and trading ideas with easy access to pre-defined screens, analysis tools, and daily commentary from experts. While there is no room to profit from the movement only trade eurusd signals long upper shadow trading strategy the stock, it is possible to profit regardless of the direction of the stock, since it is only decay-of-time swing trading multiple time frames best day trading platform for cryptocurrency that is the source of potential profit. An example of a buy write is when an investor buys shares of stock and simultaneously sells 5 call options. To improve your experience on our site, please update your browser or .

View Comments Add Comments. Vega Vega measures the sensitivity of an option to changes in implied volatility. For this strategy, the risk is in the stock. In addition to the disclaimer below, the material on this page does not contain a record of our trading prices, or an offer of, or solicitation for, a transaction in any financial instrument. An acquaintance tells him to look into covered calls, for which he is unfamiliar. As with any strategy that involves stock ownership, there is substantial risk. Investors should also be 1 willing to own the underlying stock, 2 willing to sell the stock at the effective price, and 3 be satisfied with the estimated static and if-called returns. There is also an opportunity risk if the stock price rises above the effective selling price of the covered call. There are a number of reasons traders employ covered calls. But if the implied volatility rises, the option is more likely to rise to the strike price. The subject line of the e-mail you send will be "Fidelity. All rights reserved. Your Money. To enter a covered call position on a stock, you do not own; you should simultaneously buy the stock or already own it and sell the call.