Yahoo Earnings : Closed, Negative 18.6%

YHOO stock didn’t move much. It faced tough resistance at $29 which was in between the “loss” range. As I posted here, my break even points were $25.36 and $29.59. Yahoo didn’t touch any of those. Since we are playing options, and I was long delta, long gamma but short theta, the conditions were not favorable for going long unless I wanted to adjust the position into a Bear call spread but the premium was very low. Separately, it had hit my exit rule for the trade, so “take the hit and look for other opportunities”.

This is the first loss of this earning season.  I lost $40 on $215 margin. That is a negative 18.6%.

Cheers and profitable trading






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