I am recommending we roll our Walt Disney (DIS) and Kroger Co. (KR) calls.
With DIS, we are rolling out two weeks and to a higher strike to capture more potential appreciation. With KR, we are rolling out one week and to a lower strike to generate more income.
DIS Jul Week Four (7/22) 98 Call
Current Stock Price: $102.67
Cost Basis: $117.11
Action:
- Buy to close the DIS Jul Week Four (7/22) 98 Call for around $4.90
- Sell to open the DIS Aug Week One (8/5) 100 Call for around $4.65
- Set initial debit limit at $0.25, but adjust as needed to roll today
New Cost Basis: $117.36
KR Jul Week Four (7/22) 49 Call
Current Stock Price: $46.87
Cost Basis: $55.29
Action:
- Buy to close the KR Jul Week Four (7/22) 49 Call for around $0.04
- Sell to open the KR Jul Week Five (7/29) 48 Call for around $0.45
- Set initial credit limit at $0.41, but adjust as needed to roll today
New Cost Basis: $54.88