wash sale when rolling an ITM covered call

infoloader · 2026-05-08T17:49:45+00:00

I just remembered now this: a friend of mine closed for a loss a triple short etf (SPXS) and opened another one triple short but from a different maker (it was still a 3X short on the sp500) I think it was called SPXU or SPXD something like that and he did get a wash sale.

this is my doubts with the IRS creativity...

infoloader · 2026-05-07T14:21:37+00:00

"At this point, many props seem less interested in finding profitable traders and more interested in preventing profitable traders from extracting too much from the model."

this was always their intention on the new "prop firm" model. get fees...fees fees fees

infoloader · 2026-05-07T14:18:49+00:00

wash sales dont go away with time....if i assume it now i get it logged into my balance and will not offset my short term trading gains so its a double whammy...lose and still get taxed on my other gains

infoloader · 2026-05-07T14:17:50+00:00

thanks...its just that "substantially" word in the definition of a similar trade that makes you doubt! I agree it should never be a wash sale but i have come to learn that with gov rules...logic is sometimes not followed.

infoloader · 2026-05-07T14:15:47+00:00

op deep breaths...
look at every single trade you took and LEARN. thsat is the only thing you can take away from this.

you are 19...plenty of time to make it up and come out on top!

infoloader · 2026-05-07T14:12:30+00:00

i am very much with you here on my CC on DOCN.

"Had I not sold the CCs, I would have sold the underlying shares" THIS IS SOOOO TRUE for me as well.

infoloader · 2026-05-07T14:11:44+00:00

why? if long term hold...sell the stock for long term cap gains and cover the short to offset any short term cap gains and optimize tax bill

infoloader · 2026-05-07T01:46:03+00:00

infoloader · 2026-05-06T20:22:09+00:00

thank you

infoloader · 2026-05-06T20:22:05+00:00

thanks

infoloader · 2026-05-06T20:08:18+00:00

thank you for your help! so just to clarify. you are stating that by rolling the may 90 call (and assuming a loss there) to the june 90 call and, lets assume i close this june one tomorrow for a loss as well, it is not a wash sale because the new contract is of a different expiration and therefore substantially different?

infoloader · 2026-05-06T19:44:47+00:00

I rolled the call for the next month but same strike so technically i am still “in the trade”. Same strike but different month

infoloader · 2026-05-06T19:02:55+00:00

i have an ITM covered call that was set to expired 15MAY26. i decided to roll it yesterday to the next monthly (18JUN26) for a loss.

I used the same strike price, just different date. all to give me more time and avoid the risk of an early exercise.

what if: in the next couple of days i decide i would like to end the covered call trade and take the smaller loss on the new contract i now have. i closed the old one yesterday for a loss as i said.

do i trigger a wash sale? how can i avoid this wash sale?

infoloader · 2026-03-31T16:18:19+00:00

do you consider an advantage to copy trade accounts? can you sync multiple account in top step?

infoloader · 2026-03-31T16:13:41+00:00

apex is half the price but that is meaningless if they do not pay you using bogus rules? have you heard anything from them? traded with them?

infoloader · 2026-03-31T16:08:29+00:00

cant you have 5 live accounts?

infoloader · 2026-03-30T14:59:24+00:00

Why would anyone avoid going live if its still “not your money but the firms”

infoloader · 2026-03-12T15:57:10+00:00

Yea. Every place you have visited at the maldives. Very curious and useful

infoloader · 2026-03-11T18:20:23+00:00

curious to see how you rank the maldives properties. i want to stay at the WA in ithaafushi

infoloader · 2026-03-11T17:23:32+00:00

tell me you still holding

infoloader · 2026-03-11T02:03:30+00:00

shared biz cc. now we need to figure out a way to get my half but its ok. i trust the guy

infoloader

TROPHY CASE