Roll (Rolling an Option)

Rolling an option means closing an existing options position and opening a new one with a different strike price, expiration date, or both. Traders roll options to manage risk, extend a trade, or adjust to changing market conditions. For example, if a covered call is close to being exercised, a trader might roll it to a later expiration to collect more premium. Rolling can be done for a credit or a debit, depending on how the new contract compares to the old one.

In this example, we see an existing position in the $RIOT 15c 2/21/2025 exit their 30,000+ contract position, while simultaneously opening the $14C  3/21/2025. This is an example of the trader rolling their contract down (to a lower strike), and out (to a further dated expiration date).