Expiry,rollover in options trading

What is rollover in option trading? What happens if i bought or write option with next month expiry in the current month? Is there any margin or charge for rollover? What should i do to rollover?

it is same as you bought or write current month option

1 Like

A rollover implies closing an existing position which is on the verge of expiry and entering into a new position in the same security for a farther month’s contract.

If you’ve bought/written option of the next month during the current month, you can hold on to these options till the expiry day of the next month. To rollover, simply exit the position and take a fresh position in the same security for the next available expiry contract



So exiting current position means whatever loss we have got we need to bear the same , is this correct ?

Well, if you put it that way, then yes you’ll have to bear the loss first before you rollover. If it is around market closing time on expiry day and you have a futures position in loss, you’ll have to bear the loss anyway, whether you rollover or not.

1 Like

I would like to know if there is any way by which i could directly rollover the contracts for Equity F&O in my watch list from current month to next month.I.e my watch list is same irrespective of month .

Can someone please explain how rolling over in contracts works?

For example I have a position in crude oil 19march expiry and since i do positional \ swing trading how can I rollover my open position to next contract?


So in any case position must be squared off when current contract expires? I was under the impression that the position is shifted to new expiry and 1% interest is charged.

Can someone please confirm? No need to take unnecessary loss when you know market is going to go in your direction but it just needs some time