I sold/bought back all my Apple options today and moved that money into BIDU, FB and V. All three companies are reporting quarterly earnings after the bell today.
My largest position is in BIDU. Baidu's stock has increased 20% since last earnings report and has pretty decent fundamentals. After researching how the stock normally performs after it reports earnings there seems to be a general trend lower the day after earnings are reported, even if they beat estimates. This information along with the recent run up has led me to the conclusion to sell call spreads. The stock is currently at 113.32 and I sold 6 120/125 Call credit spreads with an average credit of .78. As long as BIDU doesn't go up past 120 I'll be good tomorrow. This stock used to be a high flyer but growth has slowed so unless they report a huge beat or great guidance we shouldn't see the stock move higher.
I also have a position now in Facebook. The stock is at 26.33 and due to the fact that this company has so much growth potential I am selling put spreads. I have 10 25/23.50 Put Credit Spreads with an average credit of .32.
I also did a one contract Iron Condor of V.
Jonny
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