Earnings Are Here

It’s the 2 weeks when major earnings calls are announced.

Since I’ve started trading, I anticipate weeks like this as though they are a vacation.

This week took me some time to prepare for advanced planning.

Let me explain…

I knew that AAPL and AMZN earnings were coming up, and they are 2 of the core stocks I like to trade. I wanted to take advantage of all the trades earnings week offers, so I chose to prep my account ahead of time to have cash on hand to play earnings week with a lot of flexibility.

How did I do this?

Last month I began putting all my calls and puts with expiration dates by July 21s on the bulk of my stocks. This lined me up to have cash free and clear to play the next two weeks of earnings like a champion.

It took DISCIPLINE to stay in line trading around the 21st for the last month. There were so many trades I could have done but didn’t - just to prep for this week.

Now, I’m ready to reap the rewards.

That was the first message I wanted to share with you. Preparing for earnings week is a serious play.

The second is that I'm sharing a LEAPS trade on AAPL to highlight again how powerful the earnings cycles are on Wall St.

I’ve been trading AAPL for a while, and this stock seems to have a clear pump before earnings. (It often dumps afterward, but that’s a story for a different newsletter!).

In anticipation of this, I purchased a LEAPS contract when AAPL was priced lower during the first month of this quarter. The plan was to sell the LEAPS and cash in JUST before earnings. I have a hunch that the stock will be at a new, record-breaking high.

We shall see!

As of today, I have a 37% gain on this trade. Not only is this a mindblowing return, but it is also repeatable for many quarters to come in the future, for the rest of my life… It’s almost too good to be true!

I’m hoping for a +45% gain on this when it comes time to sell, on the day of the earnings call.

***Stay tuned to hear how this trade went.***

Wish me luck!