I am recommending we roll our Taiwan Semiconductor Manufacturing (TSM) and Walgreens Boots Alliance (WBA) calls out two weeks to generate income and reduce our cost basis on the positions.
TSM Jun Week One (6/3) 92.50 Call
Current Stock Price: $94.43
Cost Basis: $124.73
Action:
- Buy to close the TSM Jun Week One (6/3) 92.50 Call for around $2.45
- Sell to open the TSM Jun Monthly (6/17) 93 Call for around $3.45
- Set initial credit limit at $1, but adjust as needed to roll today
New Cost Basis: $123.73
WBA Jun Week One (6/3) 44 Call
Current Stock Price: $43.09
Cost Basis: $47.96
Action:
- Buy to close the WBA Jun Week One (6/3) 44 Call for around $0.13
- Sell to open the WBA Jun Monthly (6/17) 43 Call for around $1.13
- Set initial credit limit at $1, but adjust as needed to roll today
New Cost Basis: $46.96