Rolling in the money put options and trying to figure out what strike to roll to does not have to be a tough decision. Recently my Intel Stock options are sitting in the money at strikes from $26 to $22. Many investors would wonder why I am continuing to hold in the money puts and why in the world would I roll them and stay in the money. It does seem odd doesn’t it. But it actually depends on the strategy being used. I have done options since 1972. Back then only a handful (literally) of stocks even had options available and it was much harder to do option trades then because of low volume and a lot of fear from investors. That “fear of options” being too risky is still with investors and financial planners today. It is because they do not understand how to apply a strategy and consistently work that strategy toward the ultimate goal.
To decide what strike to select for rolling in the money put options you need to know This content is for members only.