Unfortunately, there isn't much worthwhile left to play this earnings season in terms of premium selling. Here's what I'm looking at in underlyings that have fairly good liquidity in their options and that offer weekly option expiries: QIHU -- announces earnings on 11/30 (before/after to be determined) (the only way I'll play this one is if it is Monday after...
Post-earnings, there is still enough juice in a premium selling play in GPRO to make it a worthwhile play to bridge the gap between earnings seasons (IVR/IV 58/75). Now that the underlying is price at about $20, the only way to go is via short strangle: Jan 15 15/26 short strangle for a 1.06 credit fill POP%: 74% Max Profit: $106 Buying Power Effect:...
As with the FL play, IVR/IV in WSM remains high post-earnings. Similarly, this is one of those issues that doesn't offer weeklies, so I'll have to go farther out in time than usual to find good strikes. Here's the play: WSM Jan 15 55/72.5 short strangle for a 1.05 credit POP%: 76% Max Profit: $105 BPE: ~$656 BE's: 53.95/73.55 With both this and the FL play, I...
Having just announced earnings, volatility in FL remains high (IVR/IV 93/36), so I'm looking to put on a premium selling play. Unfortunately, FL doesn't have weeklies, so I'm going to have to go farther out than usual to take advantage of decent strike prices that are sufficiently far out enough to allow the trade to breathe. Here's the setup I'm look for a fill...
GMCR's been getting hammered since its last two earnings announcements, and with earnings being announced tomorrow after market close, look to put a play on before the closing NY bell sounds. In any event, here's the setup I'm looking for a fill on tomorrow: GMCR Nov 27 31/49.5 short strangle POP%: 75% Max Profit: $185/contract Buying Power Effect:...
CRM announces earnings on Wednesday after market close, so look to put on a setup before NY close if you're going to play .... . Here's the setup I'm going with (or something very near it, depending on prices move throughout the trading day): Nov 27th 69/86 short strangle POP%: 76% Max Profit: $132/contract Buying Power Effect: ~$775 BE's: 67.68/87.32 I'll look...
Both GMCR and CRM announce their respective earnings on Wednesday AMC (after market close) and both look to be 1.00 plus credit ($100/contract) earnings plays, so keep an eye on them through Wednesday's NY session and look to put on plays before Wednesday close if that's what you're going to do ... . I have repeatedly gone at WMT and LOW to see whether I can...
Here's the HD (IVR/IV 72/30) earnings play I'm shooting for. They announce earnings before market open on Tuesday, so look to put on a play some time before Monday's NY close. Nov 27 113/126 short strangle for a 1.34 credit POP%: 75% Max Profit: $134/contract BPE: ~$1805 (off hours, so I'm not sure that'll end up being correct on open) BE's:...
With earnings set to be announced in HD, WMT on 11/17 (Tuesday) before market open , look to put on plays in these before Monday's NY close. Naturally, a lot could happen on Monday with price (particularly with HD, which was off about 3% in today's trading), but I would look to the Nov 27th expiry for a short strangle in HD (currently a 113/127 will net you a...
I'm not going to play this particular one, as I've already got more than my fair share of oil and gas plays on at the moment (OIH, XOP, HES), but IVR/IV hasn't been this high in XOM in quite some time (79/26). Here's what I would do were I not so heavily into the sector right now: Dec 31st 72/84.5 short strangle for 2.01 credit POP%: 74% Max Profit: $201 per...
With a dwindling earnings calendar and some buying power to put to good use, I'm looking to go where the IVR/IV takes me. With an IVR of 74 and fairly decent IV of 43, HES popped up toward the top of the Dough "Notable Stocks" grid (sorted by IVR). Here's my set up: Dec 24 51/68 Short Strangle POP%: 75% Max Profit: $150/contract BPE: ~$597/contract BE's:...
With this week's "meaningful" earnings plays (and by "meaningful," I mean worth more than 1.00 credit) all but over, I'm looking into what could be productive for next week, and they are HD, WMT, CRM, GMCR, and TGT. While you naturally can play some of the earnings for issues that are valued less than $50, you'll find that the vast majority of the time you're...
When I see a possible good idea on someone else's web site, I steal it, and it becomes mine -- all mine (mwuah hah hah). This particular one comes courtesy of TastyTrade. After having just announced earnings, AET still enjoys a fairly high IVR/high IV (78/39). With buying power to spare in this otherwise fairly low volatility environment, I'm going to play via...
Mighty slim pickin's for earnings plays this week from a premium sellers point of view. M (Macy's) is one of them with high IVR/high IV (100/92). Because I've got quite a bit of buying power available, I'm going short strangle: Nov 20 39/53.5 POP%: 74% Max Profit: $101/contract Buying Power Effect: ~$463/contract Break Evens: 37.99/54.51 As with all short...
Okay, okay, okay ... . So FB doesn't meet my ordinary criteria of having high IVR (70+) and high IV (50+) for purposes of selling premium (currently its IVR/IV is 46/36). My excuse is, "Hey, it's Facebook; you can't not play Facebook" (plus the typical 1 SD short strangle yields $145 per contract and the options, unlike some of my plays, are extremely liquid,...
With an IVR of 91 and an IV of 71, WFM's premium is sufficiently "wholesome" (see what I did there?) for a premium selling earnings play. The max profit isn't huge, but the little ones do add up ... . Due the price of the underlying, I will be going short strangle: Nov 20th 26.5/36 Short Strangle POP%: 75% Max Profit: $72/contract BPE: Undefined Risk BE's:...
KORS (IVR 96/IV 53) announces earnings tomorrow before market open, so if you're going to put on a play, do it before today's market close. Options liquidity isn't great, so you may want to do some price discovery on your setup, looking for a fill above the mid price ... . I'm going short strangle due to the price of the stock: Nov 13th 34/45 Short...
TSLA announces earnings tomorrow (Tuesday) after market close, so if you're going to play it, put on your set up before the end of the NY session. Here's a couple of possibilities: Nov 13th 187.5/240 Short Strangle for 3.97 in credit Max Profit: $397 BPE: ~ $2135 POP%: 74% BE's: 183.53/243.97 Nov 13th 180/187.5/240/247.5 Iron Condor for 1.69 credit Max Profit:...