Member Trade Update: $AAPL post earnings



BotTrigger Trade Update: $AAPL so whatever happens today with earnings will really make no difference for us. If $AAPL pops higher than our January 2018 AAPL 110/120 call spread will only increase further in value. So far this position is already up over 120% since our entry with a max value of $10 which is a 150% gain so long as AAPL closes @ or above $120 by Jan 2018. And if AAPL tanks/pullsback on this report (which is our hope really), then our spread will lose value very marginally. Again, the big picture is that there is a very high likely hood that AAPL closes @ $120 by January 2018. Like even if AAPL tanks, we would do nothing with this trade and just sit on...because we know that there is about a 99% chance that this position will close at full. So we do nothing here. We just let is ride. The only time we may exit this spread early is if AAPL were to reach around the $160 in short order then we can easily see this spread trading at a value closer to $9.50 to $9.80... in which case we would close this out near a 140% gain. We'd let go of the extra 10% (give or take) that we could have made, and better use that capital on a new trade setup. Really we're hoping that this report causes a bearish reaction in the near term. We know that AAPL is en route to higher, but if we can get a moderately slow quarter to help AAPL pullback a little bit, that would open up a whole new trade position for us on the long side. Since this position is currently our highest allocated position @ 20% of the portfolio, we're golden.


Some of the greatest pearls shared by Jesse Livermore:

“Money is made by sitting, not trading.”

“The desire for constant action irrespective of underlying conditions is responsible for many losses in Wall Street even among the professionals, who feel that they must take home some money everyday, as though they were working for regular wages.”

“Buy right, sit tight.”

“Nobody can catch all the fluctuations.”

“There is a time for all things, but I didn’t know it. And that is precisely what beats so many men in Wall Street who are very far from being in the main sucker class. There is the plain fool, who does the wrong thing at all times everywhere, but there is the Wall Street fool, who thinks he must trade all the time. Not many can always have adequate reasons for buying and selling stocks daily – or sufficient knowledge to make his play an intelligent play.”

“It takes time to make money.”

“Don’t give me timing, give me time.”