Option Strategies: DIS, CELH& TWLO

Hello everyone! Today i want to share some option stratgeies with you!

1.

Here is how we are going to trade $Walt Disney(DIS)$ for earnings this week.

Expected move is ~6%.

Strong volume support in the 90-91 level and gap at the 99 level.

Previous high from last earnings at 123. We have a long position composed of shares and LEAPs

Sell-to-open covered calls at the May 17 expiration and a strike somewhere in the $125-130 range

Buy-to-open a put debit spread to hedge our long position

- May 10 expiration, strikes tbd

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2.

Think we'll trade $Celsius Holdings, Inc.(CELH)$ this week. Zooming out on the daily chart makes it obvious what put strike we're gonna sell. Probs will sell a strangle for this trade.

Expected move is ~13% as of Friday's close, but gonna target volume support on the put side and target more than 30% away on the call side since CELH has shown it can move up big (~20%) on a post-earnings pump.

Sell-to-open May 10 exp $50 put strike Sell-to-open May 10 exp $100+ call strike

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3.

$Twilio(TWLO)$ announces earnings after the bell on Tuesday. We have an active position ... sold the 50 strike put with a longer-dated expiration.

However, thinking of rolling (for a net credit) the 50 strike "up and in" to the 60 strike (which sits just under the volume point-of-control and in a consolidation range) and rolling the expiration date back to May or June.

We would do this if we decide to take a directional bet on TWLO assuming that it is going to do well for earnings and pump up. This does increase our assignment risk and we are fully prepared to get assigned at 60 if we take this trade.

On the flip side, might sell a naked call at the 78+ strike May 10 expiration.

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