I am recommending we roll the short leg of our Nike (NKE) LEAP call recovery position out two weeks to generate more income and reduce our cost basis.
Note: No action is needed on the NKE Jan 2024 (1/19/24) 70 Calls at this time.
Current Stock Price: $90.41
Current Cost Basis: $109.60
- Buy to close 3 NKE Oct Monthly (10/21) 95 Calls for around $0.07 each ($0.21 total)
- Sell to open 3 NKE Nov Week One (11/4) 95 Calls for around $1.02 each ($3.06 total)
- Set initial credit limit at $0.95 each ($2.85 total), but adjust as needed to roll today
New Cost Basis: $106.75