Here is the final analysis of the speculative strategies I started sometime back. Let’s go through one by one:
First BMC easy but speculative – Profit 130%
- My original plan was to open a put backspread.
- One of the OP reader Jim highlighted unusually high PUT volume.
- Coupled with further analysis I decided to change strategy to straight put.
- You can follow the whole discussion here
- Sold it today for 130% profit–>
The Great Google: GOOG all 4 trades won providing profits of 10%, 6%, 13.6% and finally today 16.69%.
- GOOG : I started discussing google on Jan 26, 2007 (click here) and took OP readers through roughly in 7 parts. Pls go through those, in case you haven’t, to understand my logic for the strategies I played.
- We estimated google to move by $30-40 dollars it didn’t move that much immediately after the earnings, but since then google has fallen by $37 as of writing this (from $500 to $463). Here is the chart of the final trade–>
Mysterious Amazon: Almost Breakeven
- The discussion was started here
- I played a bullish call backspread as well as bearish put backspread.
- Those were in “loss zone” but I had time to adjust the trades by Feb expiration. I did it today and closed the trade for almost breakeven–>
Now let’s talk NVT : Still Open
- I opened a call diagonal 35/40 Feb Mar for credit
- I bought additional $40 Mar call with this credit
- Since I had quite a few trades open I couldn’t focus well to manage it better. 5 min intraday chart will show one that it could have been very easily manage for profit.
- I am currently in loss zone on this. Potentially I will have to close this one for a loss.
Cheers and hope you benefitted from this discussion on speculative plays. I have added several other examples under Earnings category.
Next week is going to offer some fabulous opportunties, you may want to review the blog over the weekend to browse past posts on earnings, pinning to take advantage, and yeah, don’t forget to send flowers to your loved ones on valentines day,
Profitable trading, OptionPundit