Live: Monday, May 22, 2017

5/22 – 3:30 p.m. New York time

I entered a position on AAPL as a volatility play without an associated earnings announcement. My analyze of AZO showed it to be a reasonable trade, although I passed on it for my accounts because of the high price per contract.

In addition to the five exits this morning — EWZ, LB, XOP CSCO and DE — an exit order on TJX was filled late in the trading day. All analyses have been updated with results.

I have an exit order in on CPB that has not yet been filled. I shall leave it active until the losing bell and update if the order goes through.

5/22 – 9:55 a.m. New York time

AZO continues to qualify as a potential earnings play and I shall post an analysis today. AAPL is also looking interesting as a volatility play, and I shall take a closer look at it and perhaps do a full analysis.

I have exited five positions — EWZ, LB, XOP CSCO and DE — and shall update their analyses with results.

5/21 – 7:45 p.m. New York time

As the earnings season begins to wind down, I’ll gradually be shifting my focus to relatively higher volatility plays, with the drama and angst of an earnings announcement.

There is one potential earnings play on my desk for Monday: AZO. It is a wildly expensive stock — $673.65 per share at Friday’s close — and so carries with it a far higher risk than smaller accounts can safely withstand. Since one keystone of my trading strategy is to have as many different positions as possible, small is beautiful, and high rollers like AZO are truly ugly beasts.

I shall also be considering a number of high implied volatility funds and stocks.

By Tim Bovee, Portland, Oregon, May 21-22, 2017