Earnings are Underway 

Tom Gentile

Posted in Investing Tools

By: Tom Gentile on July 29th, 2022 • 2 mins read

We all know earnings season is upon and companies are reporting their Q2 earnings and revenue numbers.

We have options strategies based around earnings .

Money Calendar is a scan to find historically proven trading patterns, which we then search up options opportunities on, but with these we DON’T mess around with earnings.

This Pattern Scan and Subsequent Options Strategies does not Mess with Earnings

If a Money Calendar pattern has an end date past an earnings announcement, to us that means we need to be out of the option trade prior to the earnings announcement. Too much price volatility with earnings that could adversely affect the option trade while waiting for the price move to play out post the earnings and prior to the end date.

We try and set up options on Money Calendar candidates with an end date prior to their upcoming earnings report so we are going to be out prior to an earnings announcement on it/

Here is one such case: Best Buy Co,. Inc. (NYSE: BBY)

Earnings are due to be reported on August 30, 2022, per www.earnings whispers.com

The end date for the Money Calendar pattern is August 25, 2022.

Win lose or draw the time stop for any option trade is close of market that August 25.

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It is a 20-day pattern. It has a 90% accuracy. The avg. profit over this period of days the past 10-years is $3.74 pr 3.74 points.

There may be a bit of help with the options price increase due to any IV rush that may happen going into its earnings date, but that isn’t something we factor in and use as part of our Money Calendar process, but it helps we won’t complain.

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App: Toms Option Tools

Market Insight articles may show images of lists of stocks meeting a variety of options parameters like Unusual Call and or Put activity or Expensive IV found on my app Toms Option Tools.

Other times I will have other charts may work to amplify my educational points. 

Those options data lists, however, can be found on my app Tom’s Option Tools. Use your device to search up and download this app and get free access to the Morning Reports section of the app.

Other parts of the app are available at a premium subscription rate, but the Morning Reports Lists are yours free.