Trading the Volatility Smile on Earnings

Discussion in 'Options' started by Atikon, Apr 17, 2020.

  1. Atikon

    Atikon

    Frist off, I didn't open a CFD on Netflix. Second, If I had sold a Call that would be at e.g. 470 ITM, I would set a sell to close/stop loss at around 468-466, so if it bounces back the CFD will close. The risk for me is, a)not getting filled, b)that the Stock will bounce around my strike price. You can calculate the odds that the post Earnings stock price will bounce around at the 1 STDV. They are very slim and if it happens I have to cover the spread like I would have to anyways. Regarding a) see the image attached (Page 4) on the buy/sell activity that wen't on in the SECONDS! that the Earnings Report has been released. I would have bought on the way up and sold when it came crashing down.
     
    Last edited: Apr 21, 2020
    #41     Apr 21, 2020
  2. Dump Truck, you cannot block someone who has already blocked you. So more of your BS. No, I don't trade CFDs because I have a Big Boy account.

    You are allergic to money. Stop trading and procreating.

    2020-04-21_19-46-52.png
     
    #42     Apr 21, 2020