Facebook, Inc. (FB) Bulls Roll the Dice on an Earnings Win

Facebook Inc (FB) announced a new Super Bowl ad strategy today

Digital Content Group
Jan 28, 2015 at 1:31 PM
facebook X logo linkedin


Facebook Inc (NASDAQ:FB) is up 2.1% this afternoon at $77.38, ahead of this evening's highly anticipated earnings report. Options are flying off the shelves, too, at a rate more than twice the intraday norm.

At least one group of traders is expecting a post-earnings lift for FB. Specifically, buy-to-open activity has been detected at the weekly 1/30 79-strike call. In other words, the buyers expect the social media stock to topple $79 by this Friday's close, when the weekly series expires. FB hasn't settled north of here since Dec. 30, though; as such, delta on the out-of-the-money call is just 0.43, or 43%.

On the sentiment front, calls have been the options of choice in recent weeks. FB's 10-day call/put volume ratio across the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) checks in at 2.53 -- higher than 70% of all other readings from the last year.

This optimism is understandable, given FB's longer-term technical tenacity. On a year-over-year basis, the shares have tacked on about 45%. Lastly, in today's news, Facebook Inc (NASDAQ:FB) announced it will sell targeted ads during this Sunday's Super Bowl, focused on what people are discussing in real time.

 

Unlock Weekend Profits with Chris Prybal's Favorite Strategy Up +487.5% in 2024

With the markets going left, right, and sideways, you need to have a plan now more than ever. 

Expert Trader Chris Prybal is no stranger to volatility, and has mastered finding big stock rallies while other traders aren't looking over the weekend. Rallies that produced gains like +207% on RTX calls, +236% on MARA calls, and +238% on NET calls.

A few simple moves on Sunday at 7pm could be the “Secret Sauce” your portfolio needs to not just stay afloat, but make unprecedented gains in this turbulent market.


Don’t sit on the sidelines, beat the market with Chris Prybal's strategy. Join him now!

 

 
 
 


 
 

Rainmaker Ads CGI