Into my inbox arrives this message a few hours ago. Note what they are saying about option straddle prices going into Apple earnings on Tuesday. a 7.5% change is about a $30 move. But the weekly straddle can be had for about $20, and a call for about 11. I don’t see all that much downside.
How To Play Apple’s Earnings This Tuesday
by Quoth the Raven
Apple will report their earnings Tuesday after-hours and investors are anxiously awaiting the corresponding action in the share price. Options trading (based on straddle prices) has suggested that investors are expecting at least a 7.5% change on Apple’s (AAPL) share price after earnings. read more »