When should I roll my options to a lower strike price?

Amatrue

Amatrue

I am currently holding some PK call options with a strike price of $20 expiring on January 15 2021 and my average cost is $0.3 per contract. I now believe my contracts may expire worthless at expiration and want to move my contracts to a lower strike price ($15). However, liquidity is currently ass and the spread is wide for my current contract. So I was wondering if there's any strategy that can allow me to lower my strike price without loosing too much on the current spread.

Thanks!
 
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Amatrue said:
I am currently holding some PK call options with a strike price of $20 expiring on January 15 2020 and my average cost is $0.3 per contract. I now believe my contracts may expire worthless at expiration and want to move my contracts to a lower strike price ($15). However, liquidity is currently ass and the spread is wide for my current contract. So I was wondering if there's any strategy that can allow me to lower my strike price without loosing too much on the current spread.

Thanks!
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January 2020 is already behind us.
 
Amatrue said:
Sorry, I meant 2021, edited.
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You have no choice but to keep it until expiration and then do a roll over. This is the most efficient way. You can't outwit the system by doing early roll over and you will just continue to lose more money.
 
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Not true...

Are you saying IF he could do the,10-15 or the 15-20 1x2 for even,you would pass on it?

I know it's not there,but at a certain price,you take the shot


gkishot said:
You have no choice but to keep it until expiration and then do a roll over. This is the most efficient way. You can't outwit the system by doing early roll over and you will just continue to lose more money.
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