I want to write a covered call on some stock I own, but I’ve hit a dumb question.
How many call contracts do I want to write for 100 shares. I think it’s one, but I’m not sure and don’t want to screw it all up. I’m using Charles Schwab, if that will help.
You are correct: one options contract per 100 shares. If you tried to write 100 call options, the system will reject you anyway since you don’t have enough shares to cover (assuming you’re not allowed to write naked options).