Selling covered calls is the most popular herd mentality "options strategy" on earth. Let me explain. Covered calls means you own the shares, that's what makes it covered. If you own the shares, you are bullish right? Hope so! So what does selling calls actually mean? Well, you are agreeing to sell your shares at a certain price in a certain timeframe. Sounds good right? You get to sell your shares for a profit and collect the premium. In theory, sure. But in the real world, there is a MAJOR problem. CAPPING YOUR UPSIDE! I can't tell you how many people I have talked to that bought shares cause they were bullish, then someone said "why not generate some cash flow on the shares you hold" So they sell calls against their shares, the stock gaps way up (cause they are bullish on the company... remember) and the