Replies to post #117807 on Option Millionaires

[Jalex]

if AAPL falls into the 590's.

fingers crossed.

[retiredMM]

ghost

premiums will rise into tuesday's close. You will be buying them at their most expensive point making it extremely hard to make money. Yes, AAPL may beat (I think they do) but don't base that on their guidance. The analysts know that they always low-ball and take that into account when doing their estimates.

If you think they will beat then the best strategy to make money on this (since the premiums are sky high) is to put on a Call Spread. Sell a call at the price you think AAPL will go to i.e. $645 and buy a call @ $6.35. This will give you a chance to make 5x your money with much less risk.