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Covered Put Profile Version / Simplified Version / Comprehensive Version


Print Covered Put Printable Version

Covered Put Risk Graph
Learn How To Read This Chart

Covered Put - Components


Write (sell to open) 1 contract of nearest out of the money put option for every 100 shares you shorted.

Short 100 Shares + Sell 1 Put



Covered Put - Expectation

Down and Stagnant



Covered Put - Risk / Reward

Maximum Profit: Limited

Maximum Loss: Unlimited



Covered Put - Breakeven Point

Short Stock Price + Option Bid






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