Dividends , The Wheel --Cash secured Puts and Covered Call writting

[Porgie Tirebiter]

You could buy it back and take the loss. But since you have about 5 weeks to go you would be paying too much as you would also have to purchase the remaining implied volatility.

This happens to me a lot. If I'm going to repurchase the calls I would do it late in the day on Feb. 19th, when the calls will trade very near their intrinsic value.

Or, if you have the cash, sell puts at the same or next lower strike. But that strategy only applies if it's a stock you have a compelling reason to own.

Bear in mind that while the calls are "in the money" you could be exercised at any time, particularly if there is an ex-dividend prior to Feb. 19th.

Whether these are in a taxed account or not also makes a big difference.

But finally, the shares might just drop back below the strike and all of the above won't matter anyway!