Marketgems Earnings Trader- Trading Strong or Weak Earnings Growth

[jenna]

CELL/MXIM and misc. Missed CAMD because there were no options, missed TASR because no option, when there are no options we miss chances for a lot of money but there is nothing to do. APOA certainly doesn't risk a lot as it costs much less even than options <g>
Basically just when you take the entire cycle of an earnings play it DOES NOT begin with the day before the report, and of course not with the day after the report, but DAYS before the report (for most of our plays are significant companies that WILL BOUNCE CONSIDERABLY or DROP SHARPLY after the report)

They are set up carefully not just "we like dis" or "dis chart is awesome".. In fact we were short MXIM, VECO and TQNT this week even as they were earnings plays (VECO actually I expected upside but I don't let "love" or "hate" of a stock or chart influence the direction of my play) That's nice in the playground when you choose up your favorites for volleyball, but not for trading. Once we locked in profits, it was time to pick up the second part of the straddle (THE LONG SIDE).

CELL was not a totally 'unprejudiced" play, I did NOT LIKE CELL (I didn't like CYBX either, but it fell through the cracks) and could not pick up call options for that dud and didn't. It wasn't emotions, but rather past experience with a nice gain on the short side last quarter (this baby was actually cut in half)
MXIM, we saw the interest, we saw the potential and here was a first tier play (the only first tier tech play we had this week) that we couldn't let our emotions or disdain get in the way, and we didn't!