Marketgems Earnings Trader- Trading Strong or Weak Earnings Growth

[jenna]

WEBX up 21.35%, Feb 22.50 calls up 350%, the 25 up 270%

market rewards good reports! First INSP, then CNET and now WEBX (interspersed with some 'goodies' on the downside like SOHU, FDRY, NTES, GILD, etc)

INTRADAY UPDATE yesterday:

We did call the intention of a WEBX straddle WEBX is about even today 50% of intraday highs. Once again a rather cheap straddle the Febru 20 calls doing well up already February 20 puts might be a strangle here if you are not in this play yet, pick some up.

We called the 22.50 calls and 17.50 puts. but we expected some move to the upside that never came yesterday, the 20 calls look even better here if you haven't taken a position yet (WEBX was weak yesterday) and the 20 puts (for a STRANGLE).


http://www.marketgems.com/WEBXearnings.gif
and INTRADAY CHART
http://www.marketgems.com/WEBXearningsrun.gif

POSSIBLY a strong play here as we are seeing some ANTICIPATORY UPSIDE here above the 20 ma at (20 to 20.20) and could retest the highs of the day in a later earnings run.

marketgems staff