I am recommending we roll our Advanced Micro Devices (AMD) and Taiwan Semiconductor Manufacturing (TSM) call positions out two weeks and up to higher strikes. This will allow us to generate more income and capture more potential appreciation.
AMD Mar Monthly (3/18) 110 Call
Current Stock Price: $110.85
Cost Basis: $120.16
Action:
- Buy to close the AMD Mar Monthly (3/18) 110 Call for around $2.23
- Sell to open the AMD Apr Week One (4/1) 115 Call for around $3.15
- Set initial credit limit at $0.92, but adjust as needed to roll today
New Cost Basis: $119.24
TSM Mar Monthly (3/18) 107 Call
Current Stock Price: $105.31
Cost Basis: $133.05
Action:
- Buy to close the TSM Mar Monthly (3/18) 107 Call for around $0.47
- Sell to open the TSM Apr Week One (4/1) 110 Call for around $1.37
- Set initial credit limit at $0.90 but adjust as needed to roll today
New Cost Basis: $132.15