Why I rolled my Covered calls even when the buyback was expensive

Rule I usually follow: sell covered calls, let them get assigned, move on.

TRADE 1 : Broke the rule on AMD

3/3: Sold the 8/22/26 $210 call against 100 shares for $23.41.
Cost basis $186.
Max profit at expiry: $2,110.

5/6 : bought the call back at ~$212, sold shares same time.
Share gain: $20,770
Option loss: $18,939
Net Profit : $1,831

86.7% of max profit in 2 months.
The last $279 isn't worth 3 more months of tied-up capital.

TRADE 2: Broke the rule on NBIS

Sold the August $90 for $599 a while back when NBIS was in the dumps.

Stock ran to $196 after earnings. Could have let it assign and walked with $599.

Bought back and rolled up to a July $230 for $24 credit instead.

Rolled UP and In. Shorter time in the trade to capture the Theta decay.

New max profit: $5,722. 9x what assignment would have paid in August

The buyback was painful. Took a loss to keep the trade alive with real upside.

The catch: I need NBIS above $176 at July expiry to make this work.

NBIS is currently at $220.

Sometimes the math looks too good to pass up if you can look past the pain of the buyback.

Posted May 21, 2026, 11:43 PM UTC

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