I am recommending we roll our Walt Disney (DIS) and Kroger Co. (KR) calls out one week and to lower strike prices to generate more income and reduce our cost basis on the positions.
DIS Sep Week Five (9/30) 115 Call
Current Stock Price: $98.84
Cost Basis: $131.72
Action:
- Buy to close the DIS Sep Week Five (9/30) 115 Call for around $0.01
- Sell to open the DIS Oct Week One (10/7) 103 Call for around $0.86
- Set your initial limit order at $0.85, but adjust as needed to roll today
New Cost Basis: $130.87
KR Sep Week Five (9/30) 50 Call
Current Stock Price: $45.09
Cost Basis: $53.55
Action:
- Buy to close the KR Sep Week Five (9/30) 50 Call for around $0.01
- Sell to open the KR Oct Week One (10/7) 46.50 Call for around $0.45
- Set your initial limit order at $0.44, but adjust as needed to roll today
New Cost Basis: $53.11