I want to using covered calls to make some income on my long term hold stocks. I realize that going into a covered call I need to expect it being assigned. But at the same time in reality it seems that most like to roll the dice to make some income while holding a stock they like.
If i dont want the stock to be assigned, can I setup limit order to close the position prior to it getting to the strike price and thus eliminating the potentiality of it being assigned? I will forego some of the premium I have already collected but would protect the underlying position I want to maintain.
Does putting a Limit order against a Covered Call position make sense?
byu/Bavic1974 inoptions
Posted by Bavic1974