When Should You Roll a Cash-Secured Put?
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A cash-secured put moves against you.
The stock falls.
The option moves in the money.
Expiration is getting closer.
And eventually, nearly every trader asks the same question:
Should I roll this put?
Rolling is one of the most common management tools in options trading.
It can extend the du
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Cash-Secured Put Risks: What Most Traders Miss
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The phrase cash-secured put sounds safer than it really is.
You sell a put option.
You keep enough cash in the account to buy 100 shares if you are assigned.
You collect premium while you wait.
And because the position is backed by cash, it can feel like the risk has already been handled.
But
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