A strangle is an effective opt

A strangle is an effective options strategy, especially during earnings season

Buy a strangle to profit from a large price swing, or sell one to profit from minimal movement and low volatility

This approach works best with high-volatility stocks like the Mag7 that have a history of big post-earnings moves

The best earnings season strategy depends on expected price movement and implied volatility。。。

@Tiger_comments：Market Amplifies Earnings Moves, Can a Strangle Make You Money?

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volatility\nThis approach works best with high-volatility stocks like the Mag7 that have a history of big post-earnings moves\nThe best earnings season strategy depends on expected price movement and implied volatility。。。\nTag&nbsp;<a href=\"https://ttm.financial/U/3555376654101817\">@Huat99 </a>&nbsp;<t-t type=\"img\" src=\"https://community-static.tradeup.com/news/f1c1939ed72208285f68286a6ed9e344\"></t-t></body></html>","htmlText":"<html><head></head><body>A strangle is an effective options strategy, especially during earnings season\nBuy a strangle to profit from a large price swing, or sell one to profit from minimal movement and low volatility\nThis approach works best with high-volatility stocks like the Mag7 that have a history of big post-earnings moves\nThe best earnings season strategy depends on expected price movement and implied volatility。。。\nTag&nbsp;<a href=\"https://ttm.financial/U/3555376654101817\">@Huat99 </a>&nbsp;<t-t type=\"img\" src=\"https://community-static.tradeup.com/news/f1c1939ed72208285f68286a6ed9e344\"></t-t></body></html>","text":"A strangle is an effective options strategy, especially during earnings season Buy a strangle to profit from a large price swing, or sell one to profit from minimal movement and low volatility This approach works best with high-volatility stocks like the Mag7 that have a history of big post-earnings moves The best earnings season strategy depends on expected price movement and implied volatility。。。 Tag @Huat99","highlighted":1,"essential":1,"paper":1,"likeSize":0,"commentSize":0,"repostSize":6,"favoriteSize":0,"link":"https://ttm.financial/post/465428624228384","repostId":465259854184544,"repostType":1,"repost":{"magic":2,"id":465259854184544,"tweetId":"465259854184544","gmtCreate":1754620314412,"gmtModify":1754725202803,"author":{"id":3501196737273098,"idStr":"3501196737273098","authorId":3501196737273098,"authorIdStr":"3501196737273098","name":"Tiger_comments","avatar":"https://community-static.tradeup.com/news/227887b200e9925968650d5db4a8bfb3","vip":4,"userType":4,"introduction":"Tiger Official Account","boolIsFan":false,"boolIsHead":false,"crmLevel":1,"crmLevelSwitch":0,"currentWearingBadge":{"badgeId":"1026c425416b44e0aac28c11a0848493-4","templateUuid":"1026c425416b44e0aac28c11a0848493","name":"Tiger Star","description":"Join the tiger community for 2000 days","bigImgUrl":"https://static.tigerbbs.com/dddf24b906c7011de2617d4fb3f76987","smallImgUrl":"https://static.tigerbbs.com/53d58ad32c97254c6f74db8b97e6ec49","grayImgUrl":"https://static.tigerbbs.com/6304700d92ad91c7a33e2e92ec32ecc1","redirectLinkEnabled":0,"hasAllocated":1,"isWearing":1,"stampPosition":0,"hasStamp":0,"allocationCount":1,"allocatedDate":"2024.03.21","individualDisplayEnabled":0},"individualDisplayBadges":[],"fanSize":8273,"starInvestorFlag":false},"themes":[{"themeId":"24418daa91284b14b728e9d0403d9c8b","categoryId":"997e3653d17d4f86ac5ca7a2c649ef17","name":"Market Amplifies Earnings Moves, Can a Strangle Make You Money?","type":0,"rnLink":"https://laohu8.com/RN?name=RNTheme&page=/theme/detail&rndata={\"themeId\":24418daa91284b14b728e9d0403d9c8b}&rnconfig={\"headerBarHidden\": true}","description":"This week marks the most volatile earnings week of the season. The market is punishing bad earnings and rewarding good ones—yesterday, some strong performers surged over 20%, while certain earnings misses dropped more than 20%.\nIs this the perfect time to use a strangle strategy—betting on volatility instead of direction? \nWhat’s your go-to options strategy during earnings season? Do you focus on steady returns or look to capitalize on IV crush? And which stocks do you think are best suited for options trading?","image":"https://community-static.tradeup.com/news/5ef9d8de27c9cdb223bd6a2c352e6558"}],"images":[{"img":"https://community-static.tradeup.com/news/70e4839acf6a8ad261dd1edc0ee8e5bc","width":"1024","height":"1024"}],"coverImages":[{"img":"https://community-static.tradeup.com/news/70e4839acf6a8ad261dd1edc0ee8e5bc"}],"title":"Market Amplifies Earnings Moves, Can a Strangle Make You Money?","html":"<html><head></head><body>This week marks the most volatile earnings week of the season. The market is punishing bad earnings and rewarding good ones—yesterday, some strong performers surged over 20%, while certain earnings misses dropped more than 20%.Is this the perfect time to use a strangle strategy—betting on volatility instead of direction? But of course, if you get it wrong and the stock doesn’t move enough, you could lose money...What is a Strangle?Long Strangle: Buy one out-of-the-money call and one out-of-the-money put before earnings, betting on a big move in the stock price — either up or down. As long as the move is large enough, you can make money.Short Strangle: Sell one call and one put, betting the stock won’t move much after earnings. The goal is to profit from time decay and the implied volatility (IV) crush.<img src=\"https://community-static.tradeup.com/news/70e4839acf6a8ad261dd1edc0ee8e5bc\" tg-width=\"1024\" tg-height=\"1024\"><h2 id=\"id_2854709848\">Example 1: <a data-mention-id=\"DUOL\" class=\"teditor-mention\" data-mention-name=\"Duolingo, Inc.\" href=\"https://ttm.financial/S/DUOL\">$Duolingo, Inc.(DUOL)$</a> </h2>📅 Day before earnings close: $315Post-earnings surge: +13%, closing at $390 (up $75)Pre-earnings position: Buy $340 Call + $290 PutAssume premiums: Call $15 + Put $10 = Total cost: $25Post-earnings outcome:<ul style=\"\"><li>$340 Call becomes in-the-money, value = $390 - $340 = $50</li><li>$290 Put becomes worthless, value = $0</li></ul>💰 Total value = $50 → Net profit = $50 - $25 = $25*100= $2500DUOL’s earnings beat expectations significantly, and the stock spiked well past the breakeven point (around $340 + $25 = $365). Buying a strangle clearly paid off.<h2 id=\"id_1289043184\">Example 2: <a data-mention-id=\"NBIS\" class=\"teditor-mention\" data-mention-name=\"NEBIUS\" href=\"https://ttm.financial/S/NBIS\">$NEBIUS(NBIS)$</a> </h2>Day before earnings close: $55Post-earnings surge: +18%, closing at $65 (up $10)Pre-earnings position: Buy $60 Call + $50 PutAssume premiums: Call $5 + Put $4 = Total cost: $9▶️ Post-earnings outcome:<ul style=\"\"><li>$60 Call is in-the-money, value = $65 - $60 = $5 </li><li>50 Put is worthless, value = $0</li></ul>💰 Total value = $5 → Net loss = $5 - $9 = -$4 ❌ LossEven with an 18% gain, the stock didn’t break the breakeven point ($60 + $9 = $69). That’s likely because IV dropped sharply after earnings, reducing the value of the options.The move wasn’t big enough = a loss.So in this case, would a short strangle have worked better instead? After all, the post-earnings IV crush is very real.<h3 id=\"id_4237866264\">Tips!</h3><h3 id=\"id_1815791990\">Stock selection: Focus on stocks with a history of big post-earnings moves — like DUOL, COIN, etc. Historical data shows average moves exceeding 10%.</h3>Timing: Be extra cautious if implied volatility has already been driven up before earnings. If the premium is too expensive, the risk of loss when buying a strangle increases significantly.<h2 id=\"id_2827398954\" style=\"text-align: start;\">What do you think:</h2><ol start=\"1\" style=\"\"><li>Strangle During Earnings Season: Buy or Sell? </li><li>Which big-swing stocks would you try with strangle? (options carry risks, try it in demo account)</li><li>What’s the best earnings season strategy?</li></ol><h2 id=\"id_1875667250\" style=\"text-align: start;\">REWARDS</h2><ul style=\"\"><li>All valid comments will receive 5 Tiger Coins (5-50 coins; depend on comment quality; lucky tiger can get 66 coins)</li><li>Tag your friends to win another 5 Tiger Coins</li></ul>Event detail to click: <a href=\"https://ttm.financial/TW/464393879818256\" title=\"🎁 Weekly Giveaway: Earnings Season Is Heating Up! 🔥 Come Join the Fun! 🎉\" target=\"_blank\" class=\"\">🎁 Weekly Giveaway: Earnings Season Is Heating Up! 🔥 Come Join the Fun! 🎉</a>New reward is coming!!!Click and check our new event: <a href=\"https://ttm.financial/TW/464363097616480\" title=\"🎉Let's See Who Got the Rewards in the New P&amp;L Sharing Activity. \" target=\"_blank\" class=\"\">🎉Let's See Who Got the Rewards in the New P&amp;L Sharing Activity. </a>Multiple rewards will be given to Tigers who share the P&amp;L ratio or amount in the daily hot topics according to the rule.</body></html>","htmlText":"<html><head></head><body>This week marks the most volatile earnings week of the season. The market is punishing bad earnings and rewarding good ones—yesterday, some strong performers surged over 20%, while certain earnings misses dropped more than 20%.Is this the perfect time to use a strangle strategy—betting on volatility instead of direction? But of course, if you get it wrong and the stock doesn’t move enough, you could lose money...What is a Strangle?Long Strangle: Buy one out-of-the-money call and one out-of-the-money put before earnings, betting on a big move in the stock price — either up or down. As long as the move is large enough, you can make money.Short Strangle: Sell one call and one put, betting the stock won’t move much after earnings. The goal is to profit from time decay and the implied volatility (IV) crush.<img src=\"https://community-static.tradeup.com/news/70e4839acf6a8ad261dd1edc0ee8e5bc\" tg-width=\"1024\" tg-height=\"1024\"><h2 id=\"id_2854709848\">Example 1: <a data-mention-id=\"DUOL\" class=\"teditor-mention\" data-mention-name=\"Duolingo, Inc.\" href=\"https://ttm.financial/S/DUOL\">$Duolingo, Inc.(DUOL)$</a> </h2>📅 Day before earnings close: $315Post-earnings surge: +13%, closing at $390 (up $75)Pre-earnings position: Buy $340 Call + $290 PutAssume premiums: Call $15 + Put $10 = Total cost: $25Post-earnings outcome:<ul style=\"\"><li>$340 Call becomes in-the-money, value = $390 - $340 = $50</li><li>$290 Put becomes worthless, value = $0</li></ul>💰 Total value = $50 → Net profit = $50 - $25 = $25*100= $2500DUOL’s earnings beat expectations significantly, and the stock spiked well past the breakeven point (around $340 + $25 = $365). Buying a strangle clearly paid off.<h2 id=\"id_1289043184\">Example 2: <a data-mention-id=\"NBIS\" class=\"teditor-mention\" data-mention-name=\"NEBIUS\" href=\"https://ttm.financial/S/NBIS\">$NEBIUS(NBIS)$</a> </h2>Day before earnings close: $55Post-earnings surge: +18%, closing at $65 (up $10)Pre-earnings position: Buy $60 Call + $50 PutAssume premiums: Call $5 + Put $4 = Total cost: $9▶️ Post-earnings outcome:<ul style=\"\"><li>$60 Call is in-the-money, value = $65 - $60 = $5 </li><li>50 Put is worthless, value = $0</li></ul>💰 Total value = $5 → Net loss = $5 - $9 = -$4 ❌ LossEven with an 18% gain, the stock didn’t break the breakeven point ($60 + $9 = $69). That’s likely because IV dropped sharply after earnings, reducing the value of the options.The move wasn’t big enough = a loss.So in this case, would a short strangle have worked better instead? After all, the post-earnings IV crush is very real.<h3 id=\"id_4237866264\">Tips!</h3><h3 id=\"id_1815791990\">Stock selection: Focus on stocks with a history of big post-earnings moves — like DUOL, COIN, etc. Historical data shows average moves exceeding 10%.</h3>Timing: Be extra cautious if implied volatility has already been driven up before earnings. If the premium is too expensive, the risk of loss when buying a strangle increases significantly.<h2 id=\"id_2827398954\" style=\"text-align: start;\">What do you think:</h2><ol start=\"1\" style=\"\"><li>Strangle During Earnings Season: Buy or Sell? </li><li>Which big-swing stocks would you try with strangle? (options carry risks, try it in demo account)</li><li>What’s the best earnings season strategy?</li></ol><h2 id=\"id_1875667250\" style=\"text-align: start;\">REWARDS</h2><ul style=\"\"><li>All valid comments will receive 5 Tiger Coins (5-50 coins; depend on comment quality; lucky tiger can get 66 coins)</li><li>Tag your friends to win another 5 Tiger Coins</li></ul>Event detail to click: <a href=\"https://ttm.financial/TW/464393879818256\" title=\"🎁 Weekly Giveaway: Earnings Season Is Heating Up! 🔥 Come Join the Fun! 🎉\" target=\"_blank\" class=\"\">🎁 Weekly Giveaway: Earnings Season Is Heating Up! 🔥 Come Join the Fun! 🎉</a>New reward is coming!!!Click and check our new event: <a href=\"https://ttm.financial/TW/464363097616480\" title=\"🎉Let's See Who Got the Rewards in the New P&amp;L Sharing Activity. \" target=\"_blank\" class=\"\">🎉Let's See Who Got the Rewards in the New P&amp;L Sharing Activity. </a>Multiple rewards will be given to Tigers who share the P&amp;L ratio or amount in the daily hot topics according to the rule.</body></html>","text":"This week marks the most volatile earnings week of the season. The market is punishing bad earnings and rewarding good ones—yesterday, some strong performers surged over 20%, while certain earnings misses dropped more than 20%. Is this the perfect time to use a strangle strategy—betting on volatility instead of direction? But of course, if you get it wrong and the stock doesn’t move enough, you could lose money... What is a Strangle? Long Strangle: Buy one out-of-the-money call and one out-of-the-money put before earnings, betting on a big move in the stock price — either up or down. As long as the move is large enough, you can make money. Short Strangle: Sell one call and one put, betting the stock won’t move much after earnings. The goal is to profit from time decay and the implied volatility (IV) crush. Example 1: $Duolingo, Inc.(DUOL)$ 📅 Day before earnings close: $315 Post-earnings surge: +13%, closing at $390 (up $75) Pre-earnings position: Buy $340 Call + $290 Put Assume premiums: Call $15 + Put $10 = Total cost: $25 Post-earnings outcome: $340 Call becomes in-the-money, value = $390 - $340 = $50 $290 Put becomes worthless, value = $0 💰 Total value = $50 → Net profit = $50 - $25 = $25*100= $2500 DUOL’s earnings beat expectations significantly, and the stock spiked well past the breakeven point (around $340 + $25 = $365). Buying a strangle clearly paid off. Example 2: $NEBIUS(NBIS)$ Day before earnings close: $55 Post-earnings surge: +18%, closing at $65 (up $10) Pre-earnings position: Buy $60 Call + $50 Put Assume premiums: Call $5 + Put $4 = Total cost: $9 ▶️ Post-earnings outcome: $60 Call is in-the-money, value = $65 - $60 = $5 50 Put is worthless, value = $0 💰 Total value = $5 → Net loss = $5 - $9 = -$4 ❌ Loss Even with an 18% gain, the stock didn’t break the breakeven point ($60 + $9 = $69). That’s likely because IV dropped sharply after earnings, reducing the value of the options. The move wasn’t big enough = a loss. So in this case, would a short strangle have worked better instead? After all, the post-earnings IV crush is very real. Tips! Stock selection: Focus on stocks with a history of big post-earnings moves — like DUOL, COIN, etc. Historical data shows average moves exceeding 10%. Timing: Be extra cautious if implied volatility has already been driven up before earnings. If the premium is too expensive, the risk of loss when buying a strangle increases significantly. What do you think: Strangle During Earnings Season: Buy or Sell? Which big-swing stocks would you try with strangle? (options carry risks, try it in demo account) What’s the best earnings season strategy? REWARDS All valid comments will receive 5 Tiger Coins (5-50 coins; depend on comment quality; lucky tiger can get 66 coins) Tag your friends to win another 5 Tiger Coins Event detail to click: 🎁 Weekly Giveaway: Earnings Season Is Heating Up! 🔥 Come Join the Fun! 🎉 New reward is coming!!! Click and check our new event: 🎉Let's See Who Got the Rewards in the New P&L Sharing Activity. Multiple rewards will be given to Tigers who share the P&L ratio or amount in the daily hot topics according to the rule.","highlighted":2,"essential":2,"paper":2,"link":"https://ttm.financial/post/465259854184544","repostId":0,"isVote":1,"tweetType":1,"commentLimit":10,"symbols":["NBIS","DUOL"],"verified":2,"subType":2,"readableState":1,"subTypeObject":{"tweetId":465259854184544,"totalAmount":500,"balance":0,"end":true,"deadline":1755340314412,"description":"231 tiger-coins have been distributed to 11 participants","remainingNumber":89},"langContent":"EN","currentLanguage":"EN","warmUpFlag":false,"orderFlag":false,"shareable":true,"causeOfNotShareable":"","featuresForAnalytics":[],"commentAndTweetFlag":true,"andRepostAutoSelectedFlag":false,"upFlag":false,"length":2598,"optionInvolvedFlag":true,"xxTargetLangEnum":"ORIG"},"isVote":1,"tweetType":1,"viewCount":338,"commentLimit":10,"likeStatus":false,"favoriteStatus":false,"reportStatus":false,"symbols":[],"verified":2,"subType":0,"readableState":1,"langContent":"EN","currentLanguage":"EN","warmUpFlag":false,"orderFlag":false,"shareable":true,"causeOfNotShareable":"","featuresForAnalytics":[],"commentAndTweetFlag":false,"andRepostAutoSelectedFlag":false,"upFlag":false,"length":349,"optionInvolvedFlag":true,"xxTargetLangEnum":"ORIG"},"commentList":[],"isCommentEnd":true,"isTiger":false,"isWeiXinMini":false,"url":"/m/post/465428624228384"}