If on SEP19, BITO is trading @19.50, and I roll out the SEP20 spread to SEP27: I entered the SEP20 spread for a debit of .08 I would be closing SEP20 spread for credit of .495 (.583-.089) I would be opening a new SEP27 spread for a debit of .48 (1.012-.532) So the cost to roll is going to be .495-.48=.0145 credit? I essentially just closed my position for a $414.56 profit, and then opened a new position that cost .0145 less.
Lol I'm in Canada...so where is it wrong??? Rolling is just a fancy way to say closing one position and opening another. Also, can't roll with my banks broker platform ...would have to phone it in for a fee. Is nobody going tho mention how awesome my sheet is to be able to calculate future date and prices?
Where is the math wrong? If you make a comment like that then at least back it up! This statement might be confusing you so let me clarify. Closed a position for $495 Open a position for $480 Results is a $14.50 credit (.0145 credit x 100 x 100 =$14.50) So my sheet IS correct.
Your calculations are not logical. There is no connection between closing your current position and opening a new position which could be anything. If you made $481 from your initial trades that is the end of the story. If you roll the $481 into another option position with a maximum loss e.g. $501 it is just a new trade and has no connection to the previous trades.