The use of a dollar roll strategy can be beneficial for both the buyer and the seller. The buyer of the security has access to the amount of payments collected while the roll is in effect.
Roll
A carry transaction, whereby an open position is "closed out" and replaced with a similar position for a prompt date further ahead.
Related terms:
Carry ...
Roll Over - Moving from one deliverymonth in a futures contract to a delivery month farther away,such as a holder of long July corn offsetting that position andbuying a Sep contract. Usually done on the same order andexecuted at the same time.
Roll-over Debit
Amount debited from a trader's account because of an overnight rollover, when the long currency of a currency pair has a lower yielding interest rate than the shorted currency.
Roll-over Rate ...
Roll Forward
When an investor replaces an old options position with a new one having a later expiration date (and same strike price).
Roll Up ...
Roll: Substituting a far option for a near option on the same underlying instrument at the same strike price; also to roll forward or roll over.
Roll-Over: A trading procedure involving the shift of one month of a straddle into another future month while holding the other contract month. The shift can take place in either the long or short straddle month.
Roll Rates Statistics used by collections management to monitor the movement of accounts from current status to various delinquent categories (30, 60, 90 days, etc.) based on a percentage of the amount outstanding in the previous time category.
Roll-Over - Process whereby the settlement of a deal is rolled forward to another value date. The cost of this process is based on the interest rate differential of the two currencies.
Roll Down
Close out options at one strike and simultaneously open other options at a lower strike.
Roll Forward (Out)
Close-out options at a near-term expiration date and open options at a longer-term expiration date.
Roll-over - the way of transferring Stop-Loss orders to more favourable positions.
RSI (Relative Strength Index) - technical indicator, which specifies oversold and overbought zones.
S ...
Roll-Over
A rollover is the simultaneous closing of an open position for today's value date and the opening of the same position for the next day's value date at a price reflecting the interest rate differential between the two currencies.
ROLL OVER - (1) Payment of maturing commercial paper with a new issue of commercial paper. See: COMMERCIAL PAPER.
(2) The transfer of all or a portion of an existing 529 plan account into a different 529 plan account. See: 529 PLAN.
Roll Yield - The resultant profit or loss when futures price converge on the spot price upon expiration. Read all about Roll Yield.
S
Sample Grade - The lowest quality produce of a commodity.
Roll Forward - Close out options at a near-term expiration date and open options at a longer-term expiration date. Read the tutorial about Roll Forward.
Roll Over: Reinvest funds from a maturing issue into a new issue.
RP: See repo/repurchase agreement.
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Roll Covered Call Option
To roll covered call option or not to roll? That is the question. Ok, so you have sold a covered call on your stock and it is approaching expiration. What can you do now?
[edit] Roll return
Roll return can occur when a yield curve is steeply sloped. In the absence of any changes in the curve, as a security is held over time its maturity will decrease and the yield (as read off the curve) will change.
Dollar roll
Similar to the reverse repurchase agreement-a simultaneous agreement to sell a security held in a portfolio with purchase of a similar security at a future date at an agreed-upon price.
Roll over to see some of the useful tools offered by TradersLog.com
Free HighTower Report Email
Futures Trading Simulator
Algorithmic Trading and Market Dynamics PDF
Trade Chart Patterns Like A Pro
Jeff Quinto's Theory of Futures Trading ...
Roll-down: Let's say MSFT is trading at $25.75 near options expiration day. We can potentially buy-to-close our short PUT position for less than we originally sold them for, let's say $0.40, which results in our earning $0.45 ($0.85 - $0.40= $0.
Roll-Over
The process of lifting a futures or options position and re-establishing it in a more deferred delivery month.
Round Lot ...
Roll call vote 170, via Senate.gov
Roll call vote 149, via Clerk.House.gov
EGTRRA online, New York State Society of CPAs
Public Law 107-16, Economic Growth and Tax Relief Reconciliation Act of 2001 (June 7, 2001), via irs.gov ...
Roll forward
To move to an option position with a later expiration date.
Roll, Richard
Author of path-breaking work on asset pricing including the famous Roll critique. Finance professor at UCLA.
2. Roll your 401k proceeds into a self directed IRA
This is the preferable solution for most people, and with it you again have two choices: roll your 401k into a "Contributory" or a "Rollover" IRA.
Contributory IRA: ...
S-N roll : See Spot-Next roll.
Same Day Transaction : A transaction that matures on the day the transact...
Sandwich Spread : Same as a butterfly spread.
Sangu : See Sangu (three gaps).
(drum roll please....)
Step 1
Buy a zillion shares of a penny stock. It doesn't matter which one as long as you can come up with a good story behind it that is somewhat believable (pharmaceutical stocks are a good choice here).
If you roll your dividends in the portfolio back into the distressed group (as measured by crashed yield, or PE), and continue that process over time, I wonder how that will perform over time?
Richard Roll's critique (1977) states that this is only a theoretical concept, as to create a market porfolio for investment purposes in practice would necessarily include every single possible available asset, including real estate, precious metals, ...
» roll-up merger
Browse entries near economies of scale
economics ...
E-Trade to Roll Out Global Trading Platform
Review of Interactive Brokers - Interactive Brokers Review and Profile
Review of ExpressFutures.com - ExpressFutures.com Online Futures Broker Rev...
Top Three Broker Services ...
... is "to roll forward, if necessary, into the next contract on the last day of the month prior to expiration. ...
11. Short data about the origin and development of the currency exchange market
(Articles/Forex) ...
“On a roll'… “Go with the flow'… “Ride the wave'… “Get out while the getting’s good'… we’ve heard both sides of those golden words massaged in numerous different phrases. We get it.
tax roll This is a list of all taxable property within a given area. tax sale Selling an asset for which taxes have not been paid for a period of time.
" (Nassim Taleb) Jelly Roll A roll that a trader does using synthetic Forward Contracts (q.v.). Each synthetic Forward Contract consists of a long call and a short put, on the same underlying instrument, with the same strike and expiration.
If a stock is on a roll and investors appear greedy, the technical analyst will probably decide that the price will continue to rise, and will invest in the stock.
[6] R. Gesk and R. Roll (1984). “On Valuing of American Call Options with the Black-Scholes European Formula,' Journal of Finance, Vol. 39: pp. 443-455.
I am portrayed as someone who was once an honors roll student, star athlete, father and family man. Upon entering the stage I ask the audience to take a close look at my face.
The characteristic of moving averages changes as they flatten and roll over. The turn of an average toward horizontal signifies a loss of momentum for that time frame. This increases the odds that price will cross the average with relative ease.
You can roll over your assets to another employer's plan if the plan allows transfers or an IRA when you leave your job, or to an IRA when you retire. You may roll your traditional 403(b) into a traditional IRA without tax consequences.
the car should not roll fast enough, the agents of these companies,
known by their long fox-tails and their cunning looks, turn round the
spokes of the wheels, upon which are marked the names of the several ...
The 2-day moving average is starting to roll over. It needs to open positive and start trading positive. We don't want to see it trade back below Thursday's low of $3.61.
Now, as you can imagine, the fund will not take delivery of the physical crude so it will roll the contracts forward. This requires the etf to sell its front month contracts and roll them forward to the next month.
It's also worth noting that bets will generally roll over to the ‘near' quarter as matter of course.
If you want to keep your posi- tion open beyond the settlement date, you must roll the position over to the next settlement date. Some dealers roll open positions over automatically, while other dealers may require you to request the rollover.
Note that your decision to roll a covered call (as opposed to closing it out entirely) should depend on a combination of your current outlook for the stock, on the covered call's returns, and on the downside protection that the covered call offers.
Yet, the financial press is going to continue to roll out stories like this because it sells. Most people are more level headed. Focus on utility. What is going to provide the best value for your family?
This might include a roll over fee if a position is held overnight. You may have to pay or you will receive the roll over fee according to the trade you are in. However, you have to be prepared with an increased margin for payments if required.
For investors, the reason for buying stock isn't to own a company, but rather (drum roll, please) to make money! In buying a stock, you make an investment bet that the company's stock will increase in value.
Some fraudsters try to avoid repaying investors' principal by convincing investors to "roll-over" their promissory notes upon maturity.
Charles Dow played an important roll not just in helping to shape the future of the Wall Street Journal, but also with his concept of the stock index. If you think you know all there is to know about the Dow, take a look at our Dow Jones index series.
If the number beside the currency pair and under the appropriate roll column has a positive number, then this is the amount in US Dollars that will be credited to your account, per contract, for any position held past 5pm NY time.
As they roll out to new strikes to defend a threatened short options position, they can find themselves not only facing the need for a larger position, but also facing increased margins in creating that larger position.
If trading futures, roll forward any open positions into the next contract on the last day of the month preceding expiration.
The objective is to enter the trend on a breakout and to ride the trend for as long as possible, avoiding shakeouts.
That's just how economic reports roll!
Let's take the monthly Non-Farm Payroll employment numbers (NFP) as an example. As stated, this report comes out monthly, usually included with it are revisions of the previous month's numbers.
It used to be that you'd have to ask a broker to roll over your position. Nowadays, however, it's largely assumed that a trader wants a rollover, and unless they specify otherwise, a rollover will be automatic.
Conversely, the trader would receive a similar amount out to roll over a long position in AUD/USD. The amount received would generally be less since it would be adjusted downward by the forex broker's rollover bid/offer spread.
However, a lot of traders who like covered calls will roll into another covered call at the next expiration - so buy the stock at $11 and then cover it will another short call option.
9/14/11. I've begun to roll out information on busted chart patterns.
6/21/11. Reversal times. When does price reverse during the day?
5/30/11. Swing rule. A reliable way to predict price targets.
Surge : To swell; to rise hifg and roll'The KOSPI has surged 26 percent and the Kosdaq 35 percent this year, the second highest growth rate in the world following China's Shanghai Index, which has gained 59 percent.' ...
 See also: Market, Stock, Long, Trading, Investment
  
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