I am new to Covered Calls, Teaching myself all I can and learning from a friend of mine. What I have learned so far is the most basic and fundamental ways of earning a nice premium from doing a covered call. But after reading through some of these threads some of you are saying people who write Calls on covered calls are suckers? I don't understand this, If I have 10,000 dollars and I diversify this into 5 different stocks that all have a premium of 3%-18%, That has a steady track on the charts, Whether it is going slightly up or down, Then I am earning an Average of usually 5%-10% on this 10,000 dollars. Doing the math, If you start with 10,000$ You can turn that into 1 million within 7 years of holding it at 5% interest a month. And its definately possible to hold it at 10% average for the year per month. If a Stock starts to go lower then your comfortable with it going, (Because you should be checking them every day) You just buy back your calls and cancel out the transaction. Easy as that. Just don't know why you guys think that people writing covered calls are suckers when they are yielding such a high % back in return, that recompounds and over time turns into alot of Money. But once again I am new and I am seeking to learn. Please give me your Opinion Thank you.