AAPL When To Take A Bite?


Had you listened to the option millionaires last night when we said not to take a bite of AAPL just yet, you would have saved yourself a lot of money.  AAPL closed well in the red today down almost 3%  on heavy volume.  With AAPL at $578 today I stated in the chat room that I saw no support until $572.  We closed above that point, but my remarks were spot on as AAPL initially bounced exactly off that $572 figure.  Wait, it gets better.  I perfectly called AAPL's trading day last night.  This is exactly what I said:

"If you want to play this move, lets hope for a bounce tomorrow early.  Then step in and buy the puts that expire tomorrow as AAPL options premium will be minimum. "

Had you traded this strategy you could have purchased the $580 puts for $.50 they hit $9.55.  That's $500 into $9,550.  Not bad for a days work.

It seems charts are working again, which brings me to AAPL next week.  Earnings on the 24th after the close, grab your popcorn.  AAPL has to beat and beat big.  But....  AAPL is well off its highs, and I don't think AAPL is going much lower.

AAPL may hit $565 on Monday and trade in the $565 - $80 range until Tuesday night.  AAPL any dip will be bought post earning.  Heck AAPL stock is the new safe haven.  Let's hope on Wednesday morning for a 3-4% down day to start for AAPL.  We will then pile into the calls on the cheap and laugh our way to the bank.  That is exactly what we did today with the SNDK calls.    I bought 50 of the SNKD $36 calls for $300 and sold for a huge profit later in the day.  Those $.06 calls hit $.65.  Or $300 into $3,250 had I held to the high.

AAPL there will be plenty of chances, I think the best ones lie for option trades the day after earnings, not that night.

Known to most as Uranium Pinto Beans, Jason has more than 15 years under his belt of trading stocks, options and currencies. His expertise primarily lies in chart analysis, and he has a strong eye for undervalued stock. Because he’s got the ability to identify great risk/reward trades he usually enjoys taking the path less traveled and reaping the benefits from the adventure.

He is a co-founder of Option Millionaires, and he is best known for his weekly webinars with Scott, as well as his high level training webinars and charts found in the forums.

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One thought on “AAPL When To Take A Bite?”

  1. Strangle AAPL prior to earnings? Should be safe, as it will be volatile, IMHO. Thoughts? Thanks!

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