FIY- Earnings This Week - BIDU and LNKD

FYI - Earnings This Week - BIDU and LNKD

• BIDU Tuesday Feb 04 ??? Might be Wednesday Feb 05.
• LNKD Thursday Feb 06

I'm thinking of BIDU weekly calls. Then some LNDK weekly calls for a Thursday/Friday 1 day trade.




BIDU 1-year Chart

 

Good luck

 

I have decided to go with LNDK for an earnings play. Earnings are scheduled for Thursday Feb 06.

• LNDK at $213.20.
• Bought 1 contract Feb7 240.00 weekly call at $1.88.

Any comments from the peanut gallery?

 

BTW the appropriate way to play earnings is to buy about a week before earnings and to sell a day or 2 ahead of earnings. You never hold through earnings because you will lose more often than you win.

 

I disagree. Buy to open before earnings and sell to close after earnings is best.

 

LNDK up 3.55% and I have decided to close the position at $3.95.

• LNDK at $221.93.
• Sell to close 1 contract Feb7 240.00 weekly call at $3.95.

 

Congrats. There's a big bounce potential if the market bounces back.

Do you think call options are pricey at these vols?

 

I do not understand why this stock is not trading at $50.

 

Pricey is such an ambiguous word, how can pricey be defined?

I suppose if you sell an option for less than you paid for it that option could be considered pricey, and if you sell an option for more than you paid for it that option could be considered inexpensive.

• Buy > Sell = Pricey option.
• Buy < Sell = Inexpensive option.

 

Relative IV vs. HV or other strikes in the chain is one way to describe if a contract is "pricey" or not, regardless of long/short.