Emmy Winner? Time for Puts on Netflix(NFLX)

nflx

 

We have been a perma-bull on Netflix (NFLX) for quite sometime. When there were dips, we bought calls. When the stock went higher, we bought calls. Analyst downgrade? Thats right, we went calls. So why in the world would we buy puts on Netflix (NFLX) today after winning a ground breaking Emmy Emmy Award last night? Exactly, because folks would think the opposite here and we think the stock has put a short term top in at $320. The stock has been above the 50dma since July, and think it has a chance to test there in the coming days. That would pull the stock under $275. Expect rumors of Ichan selling his stake or some other wrong catalyst. Quite honestly it will be the smart money who has held all the way up, taking profits before the next leg to $400 in the next 6-12 months.

We currently hold $275 and $280 Puts and may add or close out position at anytime!

 

NFLX 9-23

- JB

Profile photo of jimmybobJimmyBob (Scott)has been trading equities for over 15 years, a majority of which were OTC micro-cap stocks. He started trading high risk stock options over the past 7 years, and has proven winning trades in excess of 15,000%.

As one of the Co-Founders of optionmillionaires.com, Scott enjoys sharing his knowledge with other investors through timely blog posts, daily watch lists in the forum, weekly webinars, and helpful advice within the chatroom.

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