Earnings season is one of the wildest opportunities for volatility and movement on each individual stock.

And you know how much I love watching volatility…

High volatility is my favorite indicator to take profit on trades we have already entered. 

I like to buy options on stocks pre-earnings and take off profit while volatility is at its peak for the best possible profit. 

And that’s exactly what we’ve done with Commscope Holding Company Inc (NASDAQ:COMM) calls in the Profit Revolution. COMM has earnings scheduled for November 3rd. 

Back on October 5th, I found a big money call 1 by 2 buyer in COMM…and found a way to improve the trade for the traders watching me live. 

As of this Tuesday, these calls in COMM hit their first profit target around 57% and then on Wednesday, traders closed at 92% gain for a combined weighted gain of about 74% in 21 days.

Then traders in the Profit Revolution made almost 44% overnight on some GSK plc (NYSE:GSK) calls. GSK has earnings scheduled for November 4th. 

I love to take advantage of pre-earnings volatility to help my traders close trades to make profit.

Like I always say, when it comes to earnings:

Trade to it, not through it. 

And once big names post their earnings results, we can hop right back in to opening trades on them again.

Here are some names that just posted earnings that popped up on my cheap options scan…

  1. Coca-Cola Co (NYSE:KO) just posted Q3 earnings on Tuesday October 25th and earnings were at 69 cents per share from revenue of $11.1 billion, up from the 65 cents a share and $10 billion in revenue the company posted in the same period of last year.
  2. Schlumberger NV (NYSE:SLB) announced earnings on October 21st for Q3. SLB earnings were 63 cents per share while revenue increased to $7.5 billion. 
  3. Altria Group Inc (NYSE:MO) will reveal Q3 earnings results today, October 27th, so we will be watching this name closely post-earnings. 

All three of these names were on my volatility scanner that finds stocks with IV lower than HV – which signifies a good time to buy cheap options. 

I’ll be trading them, and more post-earnings stocks with my traders in the Profit Revolution tomorrow. 

Join us by signing up right here. 

Until next time,

Mark Sebastian


Leave a Reply

Your email address will not be published.