For those regularly writing CCs and Long Vertical Calls, have you stopped rolling up? I have, if it gets called, it gets called. Stuff like PLTR was impossible to keep up with anyway. It just blew through the strikes. I've got some things that stay in a narrow range, it's almost boring, just keep rolling out every week. Anyways, just curious if other writers have stopped rolling up?
50% up on the underlyings i’d stop, exceptions are the moonshot runners like lunr nvda tsla etc, can keep it for years.
I sold calls against NVDL and rolled them up for months ....I had collected a handful of premium and said this etf would eventually fall, it did and I bought the covered calls back for a profit however I have noticed that particular 2x etf that even though the stock can really spike, in the end it always comes back down. I have a few etfs that are going to be called away this month. Want to raise some cash anyway so I'll let them go even though the stocks really took off... Though right now I find it amusing that since I started selling covered calls against my positions that now more than ever they rally hard...... What I'm doing now is selling naked calls on some high flyers like FBL and soon NVDL and NVDU in a totally separate account.....waiting for NVDA to announce earnings before I start adding any more naked calls in tech. Gathering up a list now...
If you trade the 2x etfs attached to nvda ..pltr...tsla you can usually wait it out as these etfs can lose 30 to 50% of their value very quickly on small minor nasdaq sell offs
I write very few CCs now. I always feel I will over pay to buy back...Even when I set my price low. I don't like to buy back in the last week of the option...Too many crazies!! If it's cheap, I'll do it... Many times, I'll just let it get called away... Then wait the 30-31 days (or even months) and buy the stock back cheaper... Wait for the dip or bad quarter...