The Stock Options Channel website, and a formula we call YieldBoost, were designed with two strategies in mind:
On the CALLS side of the options chain, the YieldBoost formula looks for the highest premiums a call seller can receive (expressed in terms of the extra yield against the current share price - the boost - delivered by the option premium), with strikes that are out-of-the-money with low odds of the stock being called away.
On the PUTS side of the options chain, the YieldBoost formula considers that the option seller makes a commitment to put up a certain amount of cash to buy the stock at a given strike, and looks for the highest premiums a put seller can receive (expressed in terms of the extra yield against the cash commitment - the boost - delivered by the option premium), with strikes that are out-of-the-money with low odds of the stock being put to the option seller.
The results of these rankings are meant to express the top most "interesting" options identified by the formula, which are meant as a research tool for users to generate ideas that merit further research. Each week Stock Options Channel sends a newsletter containing the results of our YieldBoost rankings.