Expedia Inc. (EXPE)

Update 4/28/2017: EXPE fell after earnings were published and I exited at 25.5% of maximum potential profit.

Shares declined by 2.5% over one day, or a -964% annual rate. The options position produced a +34.1% yield on debit for a +12,462% annual rate.

---

 

EXPE publishes earnings on Thursday after the closing bell.

I shall use the series of weekly options that trade for the last time eight days hence, on May 5.

Implied volatility stands at 30%, which is 2.8 times the VIX, a measure of the volatility of the S&P 500 index.

EXPE’s IV stands in the 47th percentile of its annual range and the 87th percentile of its most recent broad movement.

Read More »

Baidu Inc. (BIDU)

BIDU publishes earnings on Thursday after the closing bell.

I shall use the series of weekly options that trade for the last time eight days hence, on May 5.

Implied volatility stands at 30%, which is 2.8 times the VIX, a measure of the volatility of the S&P 500 index.

BIDU’s IV stands in the 59th percentile of its annual range and the 90th percentile of its most recent broad movement.

Read More »

Starbucks Corp. (SBUX)

Update 4/28/2017: SBU gapped sharply to the downside and then rose, retracing about 38% of the loss. I exited at 25.2% of maximum potential profit.

Shares showed a net decline of 2.9% over one day, or a -1,075% annual rate. The options position produced a 33.8% yield on debit for a +12,319% annual rate.

---

 

SBUX publishes earnings on Thursday after the closing bell.

I shall use the series of weekly options that trade for the last time eight days hence, on May 5.

Implied volatility stands at 23%, which is 2.1 times the VIX, a measure of the volatility of the S&P 500 index.

SBUX’s IV stands in the 51st percentile of its annual range and the 89th percentile of its most recent broad movement.

Read More »

Intel Corp. (INTC)

Update 5/1/2017: intc gapped to the downside after earnings were published and on the second day of trading, as the options approached expiration, reached a point where I could exit at less than my target price, at 17.9% of maximum potential profit. (My target is 25%.)

Shares declined by 2.3% over four days, or a -213% annual rate. The options positon produced a 21.7% yield on debit for a +1,980% annual rate.

---

 

INTC publishes earnings on Thursday after the closing bell.

I shall use the series of weekly options that trade for the last time eight days hence, on May 5.

Implied volatility stands at 21%, which is double the VIX, a measure of the volatility of the S&P 500 index.

INTC’s IV stands in the 58th percentile of its annual range and the 92nd percentile of its most recent broad movement.

Read More »

Microsoft Corp. (MSFT)

Update 4/28/2017: MSFT rose beyond the profit zone after earning were published but quickly dropped back, allowing me to exit at 52.8% of maximum potential profit.

Shares showed a net rise of 0.7% over one day, or a +264% annual rate. The options position produced a 111.7% yield on debit for a +40,758% annual rate

---

 

MSFT publishes earnings on Thursday after the closing bell.

I shall use the series of weekly options that trade for the last time eight days hence, on May 5.

Implied volatility stands at 23%, which is 2.1 times the VIX, a measure of the volatility of the S&P 500 index.

MSFT’s IV stands in the 65th percentile of its annual range and the 88th percentile of its most recent broad movement.

Read More »

3/27 – 2:50 p.m. New York time

I entered six new positions today: CVX, EXPE, GM, INTC, MSFT and SBUX. All are earnings plays.

I exited two positions: AMGN and DAL.

I analyzed BIDU as a potential earnings play but declined to take it.

Read More »

Amgen Inc. (AMGN)

Update 4/27/2017: AMGN gapped sharply to the downside after earnings were published and then moved sharply to the upside, back into winning territory. I exited at 38.4% maximum potential profit.

Shares showed a net decline of 0.9% over one day, or a -321% annual rate. The options position produced a 63.3% yield on debit for a +22,738% annual rate

---

 

AMGN publishes earnings on Wednesday after the closing bell.

I shall use the series of weekly options that trade for the last time nine days hence, on May 5.

Implied volatility stands at 22%, which is 2.1 times the VIX, a measure of the volatility of the S&P 500 index.

AMGN’s IV stands in the 38th percentile of its annual range and the 59th percentile of its most recent broad movement.

Read More »

4/26 – 3:00 p.m. New York time

I entered a new position in AMGN.

I exited HOG and T.

Read More »

United States Steel Corp. (X)

Update 5/1/2017: X gapped to the downside after earnings were published and continued to decline thereafter. I exited for a loss as options expiration approached.

Shares declined by 29.7% over six days, or a -1,748% annual rate. The options position produced a -47.4% loss on debit  for a -2,993% annual rate.

---

 

X publishes earnings on Tuesday after the closing bell.

I shall use the series of weekly options that trade for the last time 10 days hence, on May 5.

Implied volatility stands at 59%, which is 5.5 times the VIX, a measure of the volatility of the S&P 500 index.

X’s IV stands in the 34th percentile of its annual range and the 52nd percentile of its most recent broad movement.

Read More »

AT&T Inc. (T)

Update April 26, 2017: T rose after earnings were published and remained within the zone of maximum profit. That positioning within the structure of the trade, combined with a sharp declined in implied volatility, brought me close enough to my goal to exit.

Shares rose by 0.7% over one day, or a 247% annual rate. The options position produced a 32.7% yield on debit for a +11,918% annual rate.

---

 

T publishes earnings on Tuesday after the closing bell.

I shall use the series of weekly options that trade for the last time 10 days hence, on May 5.

Implied volatility stands at 46%, which is 1.6 times the VIX, a measure of the volatility of the S&P 500 index.

T’s IV stands in the 43rd percentile of its annual range and the 96th percentile of its most recent broad movement.

Read More »