Bobbie 7:45 am on Friday, January 20, 2017

Thoughts anyone on this strangle…

Thoughts anyone on this strangle MCD Jan 27 116/129 for .34 cr??? MCD has earnings on 1/23.

Jeff 10:29 am on Friday, January 20, 2017

5-day moves over last 12 earnings:

Fri 10/21/2016 BO 1.94%
Tue 07/26/2016 BO -7.65%
Fri 04/22/2016 BO 1.52%
Mon 01/25/2016 BO 2.08%
Thu 10/22/2015 BO 9.40%
Thu 07/23/2015 BO -1.57%
Wed 04/22/2015 BO 4.07%
Fri 01/23/2015 BO -1.45%
Tue 10/21/2014 BO 0.08%
Tue 07/22/2014 BO -1.87%
Tue 04/22/2014 BO 1.06%
Thu 01/23/2014 BO -0.85%

Average move: 2.8%

With stock at 122.50:
PROPOSED STRIKE 116 OTM 5.3%
PROPOSED STRIKE 129 OTM 5.3%

Looks pretty good!
- Bobbie 10:36 am on Friday, January 20, 2017
  
  Thanks Jeff. I’m 2 for 2 on earnings trade. Looks like I should have done the IBM trade also.

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