TLSA at $230.00. 52-week high $271.00. Earnings Wednesday August 03, after the bell. ATM August 05 230.00 straddle priced at $16.00. Read about ATM straddles here. MM's expect TSLA to close at $214.00 or $246.00 on August 05 based on the price of the ATM 230.00 straddle. I'm bullish so I might buy the August 05 $250.00 call, current ask $1.17. If I make a trade I will update with actual strike and price. Comments welcome. PCLN reports Thursday August 04, before the bell. PCLN options are too expensive for me to trade during earnings, so I will sit those ones out.
So either 214 OR 246. Hmm. Ok so this should be easy. Let me toss a coin and then buy. I love these odds.
The earnings will be inadequate as usual, I have a small short position, we'll see what's gonna happen tomorrow.
TSLA Trade Opened TSLA at $227.71 Bought 1 250.00 August 05 call at $0.85 Email order fill confirmation: Order B574171 Outstanding Quantity: 0 2016-08-02 15:32:43 ET BOUGHT 1 CALL TSLA 2016AUG05 250.00:US at $0.85 USD
Today is the big day. Since PCLN reports Thursday before the bell any earnings related trades will have to be opened today.
TSLA can easily move 20-25 points after earnings, based on their earnings history. Selling strangle only $7 from the stock price is not the best way to trade earnings.