Riskarb's combo to fly conversion journal

Discussion in 'Journals' started by riskarb, Jan 12, 2006.

  1. mantenar

    mantenar

    I am not able to find any good stocks this earning season to put combo to fly conversion trades. Have you found any good trades.
     
    #631     Apr 21, 2006
  2. This Tuesday FED's announcement about possible last rise in interest rate made the earnings kind of irrelevant. Bob Pisany was screaming like crazy that it's all about FED now , hence , no rise in Vols as usual. Look at AAPL ; last qtr vols went to 50 even AFTER they already announced earnings two days earlier. This time vols were steady at 42 .
    However , many stocks moved after reporting today and I already can see some spike in vols for next week reports.
    Same happened last April
     
    #632     Apr 21, 2006
  3. OK , count me in too ! Took RC on RMBS 35 strike(calls) ; NOV / JAN 08 for 5 $ credit , hoping for a 1 $ profit.
     
    #633     Apr 21, 2006
  4. Hybone

    Hybone

    Did anybody play RACK? Barring any major moves before closing today, I am looking at some serious ROM :)
     
    #634     Apr 21, 2006
  5. SLAB? 56.36

    IV mean = 68% 52-week high

    Earnings: 4/24

    Haven't really researched the underlying, has good earnings last two quarters, involved in trade secret litigation. Just thought I'd throw it out there to see if it's a good candidate for a straddle to fly conversion??

    I was attracted to this position due to the 52-week high of IV and the huge IV drop off on past spikes.
     
    #635     Apr 21, 2006
  6. mahras2

    mahras2

    Out of the PF with a credit of 2.5.
     
    #636     Apr 21, 2006
  7. I entered a position on Friday before the close:

    S May 55 Strangle @ 9.40

    Today was earnings, SLAB down $5.20
    however IV dropped to 57%

    B May 60C/50P @ 2.40

    Total Credit = $7
    Min Gain = $2
     
    #637     Apr 24, 2006
  8. Nice trade Knocks:D way to play the vol's
     
    #638     Apr 24, 2006
  9. Yeah Knocks, SLAB was a nice one. Good thing you converted in lieu of holding one more day.
     
    #639     Apr 24, 2006
  10. mantenar

    mantenar

    Is anyone playing ISRG . Earrning on 4/27. IV is at 69%. I am expecting IV to drop to 40%. History indicates that the stock moves up a little after earnings report.

    Straddle 105 call/put - 16.00
     
    #640     Apr 24, 2006