What are good etfs for long calls

Screening Filters

1. Relative volume > 1.5

   • Purpose: Find ETFs trading with above-average activity.
   • Rationale: For long calls, you generally want names that are seeing stronger-than-normal interest. Higher relative volume can indicate momentum, improved liquidity, and better option participation, all of which can make calls easier to enter and manage.

2. Price > 20

   • Purpose: Focus on ETFs with a reasonable share price.
   • Rationale: Higher-priced ETFs often have more established trading profiles and can support more meaningful call structures. This filter also helps avoid very low-priced funds that may be noisier or less suitable for directional options trades.

3. Price above 20-day moving average and above 200-day moving average

   • Purpose: Identify ETFs in a short-term and long-term uptrend.
   • Rationale: Long calls work best when the underlying is already trending upward. Being above both the 20-day and 200-day moving averages suggests positive momentum in the near term and an overall bullish trend, which improves the odds of a call option profiting.

4. RSI category = moderate

   • Purpose: Avoid extremely overbought or oversold ETFs.
   • Rationale: A moderate RSI suggests the ETF has bullish strength without being stretched too far. That’s useful for long calls because it reduces the risk of buying after an overextended move, while still allowing room for further upside.

5. Month price change % > 0

   • Purpose: Require positive recent performance.
   • Rationale: This helps confirm short-term momentum. A positive monthly move supports the idea that buyers are in control, which is favorable for directional bullish option strategies like long calls.

6. Year price change % > 0

   • Purpose: Select ETFs with a positive longer-term trend.
   • Rationale: A positive one-year return filters for structurally stronger ETFs rather than temporary bounce candidates. For long calls, this adds a layer of trend confirmation and reduces the chance of selecting weak or declining funds.

Why Results Match:

• Long calls benefit most from ETFs that are already trending upward rather than flat or falling.
• The combination of price above key moving averages, positive monthly and yearly performance, and moderate RSI points to bullish momentum without excessive extension.
• Higher relative volume improves liquidity and signals active market interest, which is helpful for options trading.
• Overall, these filters are well suited to finding ETFs with favorable trend and momentum conditions for long call setups.