December 15, 2016  Trade Alert -  Earnings Eagle  Portfolio

The average post-announcement change for ADBE has been about $4.  If that average holds up tomorrow, these spreads should be profitable.  We are only committing about $3000 on these trades:

 

BTO 6 20Jan17 ADBE 100 puts (ADBE170120P100)

STO 6 16Dec16 ADBE 100 puts (ADBE161216P100) for a debit of $.97  (buying a calendar)

 

BTO 10 20Jan17 ADBE 105 puts (ADBE170120P105)

STO 10 16Dec16 ADBE 105 puts (ADBE161216P105) for a debit of $1.10  (buying a calendar)

 

BTO 12 20Jan17 ADBE 110 calls (ADBE170120C110)

STO 12 16Dec16 ADBE 110 calls (ADBE161216C110) for a debit of $1.09  (buying a calendar)

 

Be prepared to change these price limits by $.05 or more in order to get an execution.

 
Happy trading.

 

Terry