Options

[Tape Reader]

Originally Posted by Tape Reader

bot10SPY628c242 0.51

Sold at .56. + $50

[_______]

Originally Posted by barn32

The only problem I have with buying weekly options on an earnings play is that even if it beats the vol crush could destroy any profits. Unless of course, it beats big time.

That's why in the two stocks where I did buy calls I went out one month.

You were, of course, dead right on this.

I got crushed on the short dated option I chose. Had I gone out to 7/21 as I did selling the AAPL call, this would be well in the money.

[barn32]

Weekly Earnings Results:

MU beat earnings for the eighth consecutive quarter

EPS $1.62 beat by $0.11
Revenue 5.57B beat by $160M

Stock is down -$1.45

Sometimes that happens, and sometimes it also happens in reverse. It doesn't do that too often, but it's depressing when it does.

PAYX missed -$240 (but have 3 weeks left on the option)

KBH beat +$54

MU -$369 (so far; max loss is $516. One spread expires today, one in july and one call in August. If tech continues to get hammered it will probably be a 100% loss. If it comes back some, it could be a smaller loss or even a win. I'm going to watch it closely, and I'll just call it minus $-400.)

$745 invested -$585 Return, -78% ROI

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Closed positions +$4150

Open positions -$3100

Net gain +$1050

40 open positions

13 winning

27 losing

[barn32]

I'm going to end this thread. The next two or three months will be very busy for me and keeping up with everything has become a little bit cumbersome.

I have 15 positions expiring in July and the rest go out as far as January. Most of my losing positions are at a full loss or close, but some of them have some time to recover, although it isn't too likely. One or two might sneak through though you never know.

As I write this it looks like I eeked out a small profit of about $800.

I may post something from time to time and I may also start an earnings thread if it doesn't interfer too much with my work. I'll have to see.

It was a good exercise, and I'm glad I did it.

For the two people who were following I hope you were entertained.

Good luck to everyone trading.