After Mark mentioned MCD, I decided to take a look as this was not a stock on my radar. On the chart it looks like it has been trading between $56-$58 over the last month. I have a target of $61 on MCD. So I have placed a conditional market order for 10 calls at .57 or below. Currently the delta is at .31 and I see this picking up going into earnings. They report on July 23rd before the bell. The trend has been that the stocks tend to go up ahead of earnings. So I will actually look to potentially exit this trade the day before earnings. As I anticipate volotility to pick up next week I am looking for a 100-300% return.
Lets see if I get executed.
Decided to dip my pinky toe and bought 5 Aug contracts at $60 strike for 60¢ each.
ReplyDeleteI never got filled. By the time I adjusted up to .60 it was printing .65 and then .70. Oh well. I will live through your play.
ReplyDeletePicked up the 5 about 10 minutes into closing debated ringing the register when they jumped to 70¢ right before the bell. Stuck with my thesis. Looking forward to the 23rd.
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