No longer 100% Long TEVA.
With stock, that is.
Didn't want to hold stock during/after earnings report. Too big of a risk when 100% in with a ton of $$$ in two accounts.
Sold all shares yesterday then went over 50% back in, but by going long Call options, not stock.
So I bought a ton of the June 21'19 $18.00 Calls for 22-cents in two accounts (and I did not sell a higher strike to create a Spread). Since I think TEVA will go higher after earnings, I'll think more seriously about selling higher Calls after the move starts (so that I can get a higher price for the upper Calls, and have time to trade in and out of those Short Calls to milk more gain -- sort of like holding stock while selling Calls to milk more income). There was already a very high concentration of activity at that strike -- currently nearly 25,500 Calls bought.
There is another strike farther out in time that also has high activity. That strike is the January 2020 $17.50 strike, having a Call volume of about 56,000. The problem with that is that there are two different Put strikes that add up to a large volume. So it's hard to judge that because there are 2-leg bullish trades that contain both Calls and Puts (and with or without gaps).
I like the way TEVA is acting ahead of earnings, and it just finished a deep correction, and the company also announced a refinancing of their debt, so ... to the moon, Alice ----->>>!!
