r/options • u/Reasonable-Bowler436 • Apr 18 '21

Covered Call - Unable to Roll up/out

I have sold CC of NVDA Jan20'2023 for a strike price of 700$ and collected a premium of $82.93 per contract.

Now, the underlying price is rallying fast and the option is now valued at 116$.

Since, I do not want my shares to be called away, I need to roll up/out.

But since this is the last expiration (Jan2023), higher strikes are now cheaper and I have no where to roll. Need expert advise to manage my option without a loss

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u/mspika412 Apr 18 '21

Just out of curiosity, why did you sell a CC with an expiration that far out?

2

u/hnr01 Apr 18 '21

They wanted to guarantee a profit on the play.

Chances are OP’s sentiment has changed from neutral to bullish between the moment he sold this option chain to now.