For the second consecutive Friday history repeated itself, AAPL took a tumble, and PUT holders, buyers, made some serious profits. On the other side of the coin dip and call buyers had a tough time squeezing out a profit.
Last Friday I bought the $545 weekly puts for $1.10 while AAPL gapped well over $550 to $555 before it started to fall. I locked in my profits on the $545 puts at $1.90 and proceeded to watch the AAPL rot all day. Those $545 puts I bought at $1.10 ended up hitting $15.00 on the day. Today we had similar moves although much of the money was made positioning at the close yesterday for AAPL's now weekly Friday swoon.
The $510 puts gapped from $.25 to $6.00! Other strikes posted sizeable gains. Will AAPL break $500 next week? Will next Thursday afternoon be another great AAPL put buying opportunity, or will you be better served going against the two Friday streak?
Here are a few option charts $515, $520 and $525 strike. Have a great weekend and congratulations to all AAPL puts traders and call sellers.