KungFuPanda

prophets wrote:
it’s really not accurate to say writing covered calls provides downside protection.  maybe you say it lowers your implied cost basis, but having been on the floor of the CBOE, traded options for almost 20 years in my PA since i was a teenager, and worked at 3 different hedge funds where options were employed, it’s not appropriate to say it provides “downside protection”.  cuz it just doesn’t.  it’s an income generator and it lowers your cost basis.
100% correct. If you engage in a covered call you aren’t betting on the market going down (at least very much). You do it largely because you don’t think the market is going anywhere, and the call serves as additional income in the meantime.  If the market goes up you can close out the position.  
We’ve never used or thought of a covered call strategy as protection.