A Guide to Profit Targets on Rolled Positions

As we look to potentially close a couple of our rolled positions in EWZ and XOP, we wanted to draw up a loose guide for establishing profit targets on rolled positions. <a href="http://ontt.tv/21aioIo">It seems natural</a> for there to be a relationship between the number of rolls in the position and the profit target on said position. More specifically, the more you roll a position, the lower you should consider <a href="https://ontt.tv/3pd1PKQ">adjusting your profit target</a>. This makes sense because the more you roll a position, the longer the position hasn’t worked the way you hoped it might. As a result, a lower profit target might be in order.