QIHU had good earnings this morning and it gapped up $3.00; it hasn’t moved much since.
According to the Dynamic Indicator it shows a major bullish bias since all time frames are green and in sync, so I decided to buy some Calls.
I bought the Jul 29 77 Calls for $0.05…with a IV of 1.9%
Maybe the MM don’t expect QIHU to move any higher, but these options still have 15 DTE, a blip up and they should be worth more than 5cts.
What am I missing?