This video explains how delta factors into our strike price selection, states Alan Ellman of The Blue Collar Investor.

A viewer previously wrote, “I would like to ask how much Delta to use to enter a covered call trade for in-the-money strikes to get adequate protection. I am looking at the Advanced Micro Devices, Inc. (AMD) contracts. Thanks, Vinh.”

Learn more about Alan Ellman on the Blue Collar Investor Website.