Over the past few weeks, I've watch tech and internet companies come up big prior to earnings. Specifically I've predicted GRMN, PCLN, CSCO, NVT as companies that would produce good earnings. Usually, when companies have good earnings and good future earnings and growth forecast you see a jump in share price. Although I guessed correctly on those, I did not have any money at the time of their earnings releases to capture this jump.
Options may be a good way to capture this. Next week I feel ALTR will come out with a good earnings report. Their previous 5 reports have beat consensus. I'm looking at a cheap OTM call for near term, SEPT and OCT @ strike price 25. I didn't buy my previous play option, and am debating on purchasing these or not. For now I will make a mental note and see how I do. I would buy a SEPT 07 and OCT 07 strike price 25 call for $20 and $60 respectively. Only time will tell if I get the correct call on this one.
An update to my TSL call...currently I could sell the call I have for TSL (TSL-CI MAR 08 Strikeprice 45) for $11.00. That is a 50% gain in one week. That beats investing in China...(unless you are buying and selling daily on these 10 % changes). :)
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