Marketgems Earnings Trader- Trading Strong or Weak Earnings Growth

[jenna]

ADBE is our 3 day short/put play but we finally did call some december 40 calls today (only 10) which is about 1/3 our put position for the past 3 sessions. Our strategy is to also be in the SHORT BUT TO COVER close to the report. (If the stock were up we would have taken the anticipatory upswing which we did get in the morning but we called the short by 10:30) ADBE is also expected to continue down but we do lock in profits in a rather large put/short position from last Friday.

We must emphasize that at first we were in the 45 calls, and enjoying a one day rally when ADBE was downgraded leaving us about 50% loss on the remainder of the calls. We quickly retrenched and have been short since the downgrade.