Earnings Play: BOT 1 INTC APR 23 '21 63 Straddle 3.35 USD

On April 21, 2021, we bought  1 straddle option on INTC stock expiring in 2 days (April 23)

Intel will announce the earnings report for Q1 on April 22 (after the bell)

The chipmaker’s first-quarter performance is expected to have benefited from strength in its client computing business, courtesy of growing PC demand amid the coronavirus crisis-induced work-from-home wave.

Once in a while, we like playing earnings games.

here is our trade setup:

  • BOT 1 INTC APR 23 '21 63 Call Option 1.85 USD

  • BOT 1 INTC APR 23 '21 63 Put Option 1.50 USD

For these trades, we paid 335 USD (before commissions)

Our break-even points: $59.65 and $66.35

We need at least a 5.3% move tomorrow to break even

Update: On April 23, 2021, we closed this trade with a +$68.4 gain (put option generated the most, as stock failed below $59

  • SLD 1 INTC APR 23 '21 63 Put Option 4.10 USD

  • SLD 1 INTC APR 23 '21 63 Call Option 0.03 USD