← Best Covered Calls
/ ARQQ
ARQQ Covered Call Analysis: Proceed With Caution Weak · 30/100
ARQQ · $12.53 ·
Analysis generated Apr 10, 2026 ·
Data as of market close Apr 10
· Market closed — data may be from last trading day
This strategy is NOT recommended for ARQQ right now
Score 30/100. The technical signals do not support selling covered calls on ARQQ at this time.
RSI at 39 — oversold, not ideal for selling calls. IV -11% vs avg — premiums near average, acceptable. ADX at 31 — strong trend, stock may run past strike. TTM Squeeze ON — breakout imminent, risky for capped strategies.
Check back when conditions improve, or consider a different strategy.
Quick Take
ARQQ is trading at $12.53 with RSI at 39 (oversold territory). Options IV is at 106% — 11% below its 30-day average of 119%. Neither RSI nor IV strongly favor selling calls right now. Consider waiting for better conditions or using a different strategy.
Technical Signals
RSI (14)
39
IV Today
105.9%
IV vs 30d Avg
-11%
MACD
bullish
ADX
31
MFI
44
The Setup
ARQQ Covered Call
LONG STOCK
100 shares @ $12.53
SHORT CALL
$14 Jun '26 · $1.91/sh
Net Cost
$1,062
Max Profit
+$288
Break-even
$10.62
Projected P&L at Target
+$288
(27.2%)
P&L at Expiry
P&L Scenarios
What happens at different ARQQ prices by expiry:
| ARQQ Price | Today | May 5 | May 27 | Jun 19 (exp) |
|---|---|---|---|---|
| $10 (-20%) | -$141 | -$112 | -$80 | -$60 |
| $11 (-15%) | -$101 | -$68 | -$30 | +$3 |
| $11 (-10%) | -$65 | -$28 | +$17 | +$66 |
| $12 (-5%) | -$31 | +$8 | +$58 | +$128 |
| $12 (-2%) | -$12 | +$29 | +$81 | +$166 |
| $13 (0%) ← now | -$0 | +$42 | +$96 | +$191 |
| $13 (+2%) | +$11 | +$54 | +$109 | +$216 |
| $13 (+5%) | +$28 | +$72 | +$128 | +$254 |
| $14 (+8%) ← target | +$42 | +$86 | +$144 | +$288 |
| $14 (+10%) | +$53 | +$98 | +$156 | +$288 |
| $14 (+15%) | +$76 | +$121 | +$180 | +$288 |
| $15 (+20%) | +$97 | +$142 | +$200 | +$288 |
Why This Strategy, Why Now
- RSI at 39 — oversold, not ideal for selling calls
- IV -11% vs avg — premiums near average, acceptable
- MACD bullish — stock has upward momentum
- ADX at 31 — strong trend, stock may run past strike
- TTM Squeeze ON — breakout imminent, risky for capped strategies
Key Risks
ARQQ has bullish momentum (MACD). If a positive catalyst emerges (earnings beat, product launch), the stock could gap past your strike. Consider rolling the call up if ARQQ approaches the strike before expiry.
ADX at 31 indicates a moderately strong trend. In trending markets, covered calls cap your upside too early. Use a higher strike to leave more room.
TTM Squeeze is ON — a volatility breakout may be imminent. If the breakout is to the upside, your short call will be tested quickly.