MSFT earning play

Discussion in 'Options' started by vitalisuccess, Jul 22, 2010.

  1. hi guys! Today is Microsoft earnings report after market closed.

    Is somebody gonna play this fella?
    There are weekly with tomorrow expiry date. Or it's better play AUG?

    What do you think about this idea?
  2. i don't think they expire today. for example MSFT 26 put July 23 is .50/52 with MSFT 25.97

    i don't think 2% move can be reasonably expected before the bell, but given the earnings AH 2% makes sense.
  3. yes, looks like they will be expired today after the bell. Thank you for prompting!
  4. MSFT weeklies can't expire today, the price does not make sense in this case as i posted above.

    **edit** unless they can be exercised AH after MSFT reports.

    what is the latest they can be exercised? i am short some puts
  5. yes,

    here is live chat from Thinkorswin support (pespinosa) :

    21:53 vit101: tell me please when MSFT Jul weekly options will be expired - today or tomorrow?
    21:53 pespinosa: The MSFT Jul4 10 Weekly options expire tomorrow at the close (3pm CST).
    21:54 pespinosa: Can I help with anything else?
    21:55 vit101: i see the info on Yahoo: "Expire at close Thursday, July 22, 2010"
    21:55 vit101:
    21:55 pespinosa: Thank you for the link. One moment please
    21:57 pespinosa: Give me one more min...I am confirming when the MSFT weekly options stop trading.
    21:57 vit101: ok
    21:58 pespinosa: MSFT weekly options do trade tomorrow until the 3pm CST close.
    21:58 pespinosa: I am not sure why yahoo finance shows that they stop trading today at the close.
    21:59 pespinosa: I had the routing team verify this information. MSFT weekly options will trade tomorrow (7/23/10)
    21:59 vit101: OK, thank you very much!
    21:59 pespinosa: You are quite welcome.
    21:59 vit101: have a good day ;)
    21:59 pespinosa: thx, you too!!
  6. Whoever buys the 1-day extremely high (ATM) premium on speculation only is an idiot. Vola is close to 100%.

  7. I would go with buying the QQQQ options, instead of the MSFT options. The QQQQ weeklies are very cheap.