MamaCash 10:47 am on Monday, July 2, 2018
Tags: EarningsRunUp ( 30 ), EarningsTrade ( 39 )

NFLX Pre-Earnings trades

BTO NFLX Jul20 420c @ 10.04. GTC order to close @ 20.00
BTO NFLX Jul20 440c @ 5.30. GTC order @ 7.40
Confirmed earnings report 7/16. This trade is based on a historical momentum pattern going into earnings. 100% win rate for the last four quarters.
#earningsrunup

#earningstrade

mortlightman 10:57 am on Monday, July 2, 2018

BTO both 420 & 440 ??
Not sure I understand this trade, always looking to learn.
- MamaCash 11:02 am on Monday, July 2, 2018
  
  I use CMLViz to backtest pre-earnings trades. The best result for NFLX is a 20 delta call one expiry past earnings. However, I am a little uncomfortable with that low delta. Therefore, I bought a 20 delta call based on the backtest and a 40 delta because it better matches my preferrerd risk tolerance for these trades.
  - mortlightman 11:05 am on Monday, July 2, 2018
    
    Ok, I understand that. thought I was reading wrong
mortlightman 11:52 am on Monday, July 2, 2018

Followed in my way
STO Jul 20 IC 445/450 370/365 2.37 Cr #earningstrade

Like a straddle with wings
- MamaCash 11:59 am on Monday, July 2, 2018
  
  That IC looks pretty safe at current price point. Nice!
- jsd501 12:05 pm on Monday, July 2, 2018
  
  Thanks for the idea. I followed at 2.35
MamaCash 9:47 am on Friday, July 6, 2018

Opened first layer of LMT Jul27 310c @ 2.40. Will ease out of the Jul20 calls on rallies.