Why C Is an Excellent Covered Call Candidate Right Now Strong · 85/100
C · $124.39 ·
Analysis generated Apr 13, 2026 ·
Data as of market close Apr 13
Quick Take
C is trading at $124.39 with RSI at 60 (neutral territory). Options IV is at 33% — 43% below its 30-day average of 57%. Neither RSI nor IV strongly favor selling calls right now. Consider waiting for better conditions or using a different strategy.
Technical Signals
RSI (14)
60
IV Today
32.7%
IV vs 30d Avg
-43%
MACD
bullish
ADX
16
MFI
68
The Setup
C Covered Call
LONG STOCK
100 shares @ $124.39
SHORT CALL
$135 Jun '26 · $3.08/sh
Net Cost
$12,131
Max Profit
+$1,369
Break-even
$121.31
Projected P&L at Target
+$1,369
(11.3%)
P&L at Expiry
P&L Scenarios
What happens at different C prices by expiry:
| C Price | Today | May 5 | May 27 | Jun 19 (exp) |
|---|---|---|---|---|
| $100 (-20%) | -$2,193 | -$2,183 | -$2,180 | -$2,180 |
| $106 (-15%) | -$1,597 | -$1,570 | -$1,559 | -$1,558 |
| $112 (-10%) | -$1,032 | -$978 | -$942 | -$936 |
| $118 (-5%) | -$515 | -$425 | -$344 | -$314 |
| $122 (-2%) | -$236 | -$124 | -$8 | +$59 |
| $124 (0%) ← now | -$64 | +$62 | +$201 | +$308 |
| $127 (+2%) | +$96 | +$233 | +$394 | +$557 |
| $131 (+5%) | +$311 | +$462 | +$649 | +$930 |
| $135 (+9%) ← target | +$527 | +$687 | +$888 | +$1,369 |
| $137 (+10%) | +$606 | +$766 | +$969 | +$1,369 |
| $143 (+15%) | +$827 | +$980 | +$1,163 | +$1,369 |
| $149 (+20%) | +$983 | +$1,119 | +$1,263 | +$1,369 |
Why This Strategy, Why Now
- RSI at 60 — extended, ideal for selling calls
- IV -43% vs avg — premiums below average, less income
- MACD bullish — stock has upward momentum
- ADX at 16 — range-bound, perfect for selling calls
- No squeeze — no imminent breakout
Key Risks
C 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 C approaches the strike before expiry.