Top 5 Canadian Covered Calls for January 2026
Top 5 Canadian Covered Calls — January 2026 (Expires Fri, Jan 16)
For the January 16, 2026 expiry, we ranked candidates by January seasonality win rate, then validated each pick using ROO %, delta, Scouter Score, liquidity (OI), and sentiment. To keep this list diversified, we limited it to only two resource-based names. Below are the 5 strongest January setups today: OR, FNV, AC, NTR, and BAM.
What the Metrics Mean
- ROO % (Return on Option): premium yield for this expiry window (not annualized).
- Δ (Delta): proxy for assignment odds and price sensitivity (−1 to +1).
- OI (Open Interest): number of active contracts at the chosen strike — higher values suggest stronger liquidity and easier trade execution.
- Scouter Score (1–10): composite rank blending fundamentals, technicals, liquidity, and stability.
- News Sentiment (−1 to +1): recent media tone.
- Seasonality: January win rate and average return to the same 3rd-Friday expiry historically (when available).
January 2026 Top 5 (Win Rate Ranked, Max 2 Resource Names)
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#1OR.TO – OR Royalties Inc
Snapshot: Price 51.56 · ROO 2.45% · Strike 54 · OI 8,014 · Δ 0.32 · Scouter 8 · Sentiment 0.3942
Seasonality (Jan): Win Rate 72.7% · Avg Return 4.84% · Samples 11
Positive: Royalty model can dampen operational risk; strong liquidity makes rolling easier.
Negative: Still tied to gold sentiment; sharp commodity moves can push through your strike. -
#2FNV.TO – Franco-Nevada Corporation
Snapshot: Price 297.86 · ROO 3.12% · Strike 300 · OI 172 · Δ 0.48 · Scouter 9 · Sentiment 0.1544
Seasonality (Jan): Win Rate 61.1% · Avg Return 4.85% · Samples 18
Positive: High Scouter Score and historically strong January performance; solid premium yield.
Negative: Higher delta increases assignment probability if gold rallies hard. -
#3AC.TO – Air Canada
Snapshot: Price 19.83 · ROO 2.23% · Strike 20 · OI 2,155 · Δ 0.49 · Scouter 5 · Sentiment 0.0806
Seasonality (Jan): Win Rate 46.7% · Avg Return 2.77% · Samples 15
Positive: High options liquidity; good candidate for active management (rolls/defense) into expiry.
Negative: Travel demand + fuel/FX sensitivity can create sharp gaps (manage sizing/strike distance). -
#4NTR.TO – Nutrien Ltd
Snapshot: Price 86.09 · ROO 2.18% · Strike 86 · OI 643 · Δ 0.52 · Scouter 7 · Sentiment 0.3355
Seasonality (Jan): Win Rate N/A · Avg Return N/A · Samples N/A
Positive: Strong liquidity and balanced ROO %; fits income-focused covered call selling.
Negative: Fertilizer pricing and macro/ag cycles can swing quickly—avoid selling calls into major catalysts. -
#5BAM.TO – Brookfield Asset Management
Snapshot: Price 72.97 · ROO 2.05% · Strike 74 · OI 192 · Δ 0.46 · Scouter 5 · Sentiment 0.1594
Seasonality (Jan): Win Rate N/A · Avg Return N/A · Samples N/A
Positive: Quality franchise with clear options chain; reasonable ROO % for the window.
Negative: Broader market selloffs can pressure asset managers—watch credit/spread headlines.
How to Use This Shortlist
- Filter further by delta, earnings timing, and open interest.
- Pick ITM or OTM based on assignment preference.
- Review sentiment + Scouter Score to gauge trend strength.
- Refresh numbers anytime: demo.optrader.ca.
What to Do Now
- Open the screener and load the Jan 16, 2026 expiry.
- Start with filters like: ROO 2–4%, delta ~0.25–0.45, OI ≥ 100 (or loosen for higher-priced names).
- Sort by Scouter Score, then check sentiment + January seasonality (when available).
- Choose strikes based on risk tolerance → ITM for safety, OTM for growth.
Always refresh data before trading; this article is a static snapshot.
FAQ
How were these picks selected?
Ranked by January win rate (where available), then validated using ROO %, delta, Scouter Score, sentiment, and OI for the Jan 16, 2026 expiry — with a cap of two resource-based stocks.
What does ROO % mean?
Yield from selling the covered call for this expiry window (not annualized).
Why do some picks show “N/A” for seasonality?
The seasonality snapshot available for this run only included January win-rate stats for a limited subset of symbols. You can rebuild/expand it anytime using your historical module.
Can I rebuild this list?
Yes — the free Canadian screener updates instantly:
demo.optrader.ca
⚠️ Informational only; not investment advice. Options involve risk. This list is a point-in-time snapshot; metrics and even picks may be outdated.
Always refresh in the screener before acting.
📘 Before making any investment decisions, consider speaking with a licensed financial planner or advisor who understands your personal objectives, experience, and risk tolerance.
