Marketgems Earnings Trader- Trading Strong or Weak Earnings Growth

[jenna]

INTU, PNRA strong move in puts.. Stock selection CBRL also suggested a straddle however emphasis was put on INTU and PNRA.

INTU

INTU must take out prior high of 48.50 Here I'd take the straddle. February 47.50 puts at $0.70
and the February 50 calls at $0.45 (price discounted)


PNRA (traders were picking up puts all session)

PNRA (editor's comment: our opinions are own so sorry if like PNRA, the restaurant or the bread)
Wed Feb 18 15:37:33 2004: marketge - PNRA daily chart indicators are showing sell signals.. 45 seems to be the area of resistance which will be difficult to overcome.. I don't think PNRA will be another WFMI.. not at all.

Wed Feb 18 15:41:35 2004: dino - PNRA ... I am looking for similar move as in PFCB ... pullback
Wed Feb 18 15:41:35 2004: dino - PNRA ... I am looking for similar move as in PFCB ... pullback
Wed Feb 18 15:41:48 2004: marketge - yep..
Wed Feb 18 15:41:57 2004: marketge - I mean the store is practically empty here..
Wed Feb 18 15:44:36 2004: marketge - yes.. and this might be one of those with multiple days of downside
Wed Feb 18 15:48:04 2004: marketge - they might collapse but recover. so for CBRL and PNRA even in the morning and even if they gap or crap or gap 'n snap its not over.. the trend might change by 10:30 to 11:00 (10:30 is like a whole new trading day)
Wed Feb 18 15:48:08 2004: marketge - nope
Wed Feb 18 15:48:31 2004: marketge - I used to like it and its right around the corner. and I go out of my way to get to applebees or cracker barrel
Wed Feb 18 15:48:46 2004: marketge - which is 5 to 9 miles away.. even their onion soup is like canned and thin
Wed Feb 18 15:49:20 2004: jp936 - great reason to short panera lol
Wed Feb 18 15:50:18 2004: dino - sounds right to me



PNRA earning play for Thursday morning. STRADDLE emphasis on the PUTS.

March 40 puts at $0.40 (the puts might be the ones that move February 40 at $0.15 for a pop good also but you might hold for multiple downside with the march puts) good priced option since its for March expiration. Some February 45 calls for only $0.75 (should pull back after the report, we don't need to consider holding at this price for more than 2 sessions)