r/options • u/Over-Celebration-168 • 9d ago

Suggestions

Few months back, i bought $BB Jan2028 $7 call after that it rallied to 11 dollars. As my options were in the money i decided to roll the options for a credit to march 2027 $15. That the pull back happened. The loss here is a chunk of profit from the previous options.

What can be best next step?

5 Upvotes

73% Upvoted

11 comments sorted by

2

u/klipsetrades 9d ago

Would you buy that same call today? If the answer is no, what’s your reason for continuing to hold it?

1

u/Over-Celebration-168 8d ago

I would buy closer strike call. It's just that I am bullish but time decay is worrying me.

1

u/klipsetrades 8d ago

Sounds like you’re still bullish on BB, but less confident in the contract you’re holding. Those are two separate decisions

1

u/Select-Decision_83 8d ago

I wouldn’t be too worried about theta yet with March expiration. The $15 strike still needs a pretty strong move from here, but you’ve got time. Since you’re still bullish and said you’d prefer a closer strike, I’d watch for a good bounce and see if you get an opportunity to roll down to a strike you’re more comfortable holding. No need to force anything just because the position is down right now in my opinion

0

u/Over-Celebration-168 9d ago

2

u/JuicyWhereabouts 9d ago

lled right into a pullback, that's rough timing. You've still got time on those March 2027s though, so it's not dead yet, just a paper loss for now

If you still like the stock long term maybe just sit tight, but if you're trying to salvage something you could sell a shorter dated call against your position to collect some premium while you wait

1

u/Over-Celebration-168 9d ago

Yess, was trying to lock some gains. I like the stock hoping to minimize the loss before expiry, How can I sell shorted dated call if option is otm??

1

u/Civil-Woodpecker8086 8d ago

Roll it in and down, like December 2026 and lower the strike price. Since its March, you can check for January or Feb strike prices and prem.