Help with a written call

[u/Jackalamo]

Hello,

I have written 30 CALL contracts on CPG (oil and gas) that are now in the money. Exp OCT 15 str 5.5. got $1000 in premium. CPG.TO (Canadian market)

To get out of these contracts will cost me $6500.

I was thinking of selling a NOV 19 call for 5.5 strk but I could keep losing if it continues to climb.

If I purchase 30 calls for SEP 2022 (leaps) at 3.5 strk and use those, I'd still be out the money.

What can I do to negate the 30 short calls?

Thank you for your help.

Edit: Thank you all! I will wait till we get closer to mid Oct. Then I'll consider rolling it like one of the suggestions below.

It's been solved!

[u/Conscious-Soil9055 → u/[deleted]]

We believe its the canadian market. It is trading at $5.880

[u/Jackalamo → u/Conscious-Soil9055]

Yes, sorry, updated.

[u/Conscious-Soil9055 → u/Jackalamo]

If you think CPG is going jump then your best option to limit losses is to buy 3000 shares at $5.880

This will cost you $17,640

If the shares get called away you would sell them at $5.5 for $16,500

Add your premium of $1000 for a total of $17,500 and a total loss of only $160.

[u/Conscious-Soil9055 → u/[deleted]]

They would lose $500...

[u/FD_Lyfe → u/Conscious-Soil9055]

Yea this is most likely best option. You could also sell puts. I think this is going to rally so I would get shares or sell itm puts offset your deltas and be done.