So I have an account with Scottrade. Apparently I cannot do naked calls or naked puts with them. Either way - I purchased some stock and wanted to put my position in with a Short Call. I did just that - however - I'm wondering why the sale of the call took my Buying Power LOWER? I had $89,848 buying power (includes the margin) I purchased $43,366.12 in stock I sold the calls for $4,860 premium. When that was all said and done - my buying power is now only $30,076 (including margin.) I would imagine that I had $45,821.88 in buying power (including margin) after the purchase of the stock. So then when I sold calls - which BRINGS IN MONEY - why did my buying power drop to $30,076 - which is $15,745.88 LESS BUYING POWER than if I had not sold the calls and brought in that money. It doesn't make sense to me. I sell calls - bring in money - and then my buying power drops by more than 3x???? Please help me understand if you will. Thanks.