I bought calls at strikes between 114 and 125, with most of the money in the lower strikes.
My break even point is about 116.50. So it looks like I might at least accomplish that. My 114, 115, and 116 options will be in the money.
My next strikes are 119 and 120. So if we can hit 121 or so, those will bring in a few bucks.
The last time I bet this much on call options in the lead up to earnings was April 2008, on GOOG. GOOG had been down about 20% from recent highs on bogus concerns about its cost per click. The stock was trading around $450 when I loaded up on 470's and 480's and I think a few 490's. I regretted not buying a few of the ultra-cheap 510's, 520's, and 530's. The stock closed the next day around $550, for GOOG's biggest single day gain ever and mine too.
But the thing I like is the similarity in after hours trade. That day, GOOG was only up 7-10% after hours. During regular trade the next day, it soared to +20%. I think there's a good chance FB will do that tomorrow.
I saw the "news" when it came out at about 3 AM PST. The stock didn't move, yet. I read the release. It was for an IN VITRO study. Practically meaningless. Plenty of drugs "work" in vitro and fail as soon as you actually put them into someone's body. The stock still hadn't moved. In fact the last trade was down about 5 cents. Maybe I could have bought a few thousand shares. I didn't even look to see how thick the book was. But why would I buy on such worthless news, especially when this company has a history of fraudulently pumping its stock price up just before announcing a new dilutive share offering?
I wondered if the fools would bid it up anyway. I felt almost like the fool when I saw it up 40% a few hours later. I don't know how many shares I could have picked up in pre-market, but I probably could have made a quick profit. I sure as hell wasn't going to BUY at 2.20 or even 1.90, like somebody was earlier today.
Lo and behold, down 40 cents after hours on a dilutive share offering. What a surprise!
Quit fooling around with this scam stock. If you ever buy it, you better sell before close of trade same day.
This company is a scam.
Unfortunately back in FB for the drop of last two days, but that 5 minutes of owning GOOG has paid for this two days' loss. I think FB can still go higher. BTW I bought FB after hours the day they reported huge earnings beat, at $100.