1. Thesis broken: close or reduce
If the stock breaks your invalidation level, the catalyst changes, or the loss exceeds your limit, consider closing or reducing. Adding time does not fix a failed setup. Keeping cash is a valid outcome.
WALLSTREETHUSTLER · OPTION RESEARCH
Choose options expiring in 0–7 or 8–14 days. Compare three distinct strikes at one expiration after the stock and quotes qualify. A choice is an alternative, not a profit forecast.
First confirm the stock setup. Then compare contract liquidity, total cost and the amount you can lose.
Source before scoreCheck the source time on each result. Missing or stale evidence cannot confirm a setup. See data coverage.
History before confidenceThe two-year daily study covered 40 symbols and 500 sessions. No tested strategy was approved for activation. Intraday and options validation remains incomplete.
Alerts on your termsStart strategy alerts on the Scanners page. Keep it open and visible. Reloading resets choices and history. Alerts are research observations; no orders are sent.
Choose a stock to check its server-evaluated setup and available option quotes.
Owner access required. This checks coverage; it does not authorize a contract pick.
Choose a stock to load its available quote. Owner access only.
Fit measures spread and liquidity, not your chance of profit. Delta compares sensitivity to the stock price. Each choice shows the ask premium, expiration breakeven and fee allowance when known. Fewer than three qualified strikes means unavailable slots stay empty. Your broker’s final price, fees and expiration deadlines may differ. No order is placed.
A roll closes your current option and opens another. The loss on the old trade stays on your record. There is no roll that guarantees recovery.
For purchased calls and puts only. Short options and spreads need a different plan. Check your broker’s exercise and settlement deadlines before expiration.
If the stock breaks your invalidation level, the catalyst changes, or the loss exceeds your limit, consider closing or reducing. Adding time does not fix a failed setup. Keeping cash is a valid outcome.
Compare a later expiration at the same strike. More time usually costs more and remains exposed to price moves and falling implied volatility. Treat the replacement as a fresh trade that must pass APEX and liquidity checks.
Compare a later expiration closer to the stock price or slightly in the money. It may respond more to the stock, but can require substantially more capital. Moving farther out of the money just to make the premium cheap can make recovery harder.
This manual scenario is not a live quote or a replacement-contract recommendation. Enter dollar totals for the entire position, including fees. Use an executable closing estimate and the replacement ask, not the last traded price.
The $100 limit includes the old loss plus the replacement’s full cost. It does not reset when you roll.
Do not roll just to avoid booking a loss, double the position to recover faster, or force a cheap contract through the filters. Stale quotes, wide spreads, missing data or a failed underlying setup mean no replacement pick.
Before placing anything, verify the combined close/open price, fees, buying power and expiration terms in your broker. Nothing here sends an order.
Learn more: Fidelity: managing an options trade · Schwab: when to roll options.