So what happens when you try to roll an option over to a later date? Does it close your existing position and then you still have to buy the extended option at the market price of the day? Just wondering how expensive it can get to roll an option and if it’s worth it most of the time?
A roll is the same as closing one and buy another one at the same time.
Roll is worthwhile if you want immediate execution rather than risking a bid spread change while you manually close and buy another one.
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