Those koreans at shamesung HQ must be running around like chickens, hands in the air, completely shell shocked that their next copy candidate wasn't announced at WWDC. Just look at the S4 and you can see the effect of the iPhone gap -- its virtually the same design as the S3. They are completely out of ideas to steal.
Just imagine... it could be 6 more months for the sam-dungers to have to wait to see Apple's next game changer. And by that time people may have all but forgotten about their cheap plastic galaxy knock offs and will be anxiously awaiting their next iPhone.
It came from their options trading desk buddy. See pasted article below or just google "barrons goldman wwdc"/
Hey moron: learn to use google.
Goldman Sachs‘s options trading team this morning advises that you buy Apple (AAPL) June $450 calls to position for the gain that historically comes in advance of the company’s annual Worldwide Developer Conference (WWDC), which kicks off a week from Monday, June 10th, in San Francisco.
Apple shares today are up $2.09, or half a percent, at $447.04.
“We believe that option investors are overly focused on the impact from last quarter’s $100bn capital allocation news and are missing this potentially important catalyst,” writes the team.
“We see opportunity today for investors to buy inexpensive calls and benefit from potential volatility on product announcements / enhancements and a preview of the new iOS7.” Goldman Apple analyst Bill Shope also thinks there is the possibility the company will discuss new services, such as electronic payments, and enhancements to Apple’s “Siri” voice-recognition capability, among other announcements.
Implied volatility is low, they write, and historically there has been a bounce in advance of WWDC:
Over the past 10 years, we find that buying the closest out of the money one month listed call two weeks ahead of the annual WWDC and closing the day after was profitable, generating an average profit of 52% (including bid/ask spread). This is because shares traded up 5% on average and implied volatility rose by 7%. Buying puts ahead of WWDC was never profitable, and straddles just profitable in two years. Importantly, we find the most favorable profitability dynamics for call buying if investors buy calls two weeks or more ahead of the event, supporting our recommendation to buy calls today [...] Apple three month implied volatility screens as the second lowest in our mega cap universe (liquid stocks with greater than $50bn in market cap), and are among the cheapest in the Hardware and Semiconductor option universe. Following earnings, three month implied volatility fell 5 points, from 33% to now 1 po
..only if I can "double bag" it. One to cover her head and one for mine. And I'd probably need to double bag my boy down there as well Can't ever be too safe with that dirty korean sow.
That's because I did the exact OPPOSITE of what you advised. You said buy 450 calls ahead of WWDC, and I bought the 450 puts instead. Its almost as easy fading your calls as it is Jimmy The Clown Cramer. :D
I'll be waiting for you to give your SELL recommendation so I can go long a few thousand shares of AAPL. But for now I am holding these puts until 420 or lower.
I'm long but may as well play along with the bots today. :D
She knows she will be getting paid well. EOM/EOQ payment forthcoming.
Sold me a bunch of OTM calls on Monday and just closed out. With the holiday you just had to know the algo's would take her down. This stock is the easiest game in town if you are selling premium! :D
It's really quite easy to understand If you are truly long today is meaningless.
CallCrusher3000 is in control this week. He's like pac man gobbling up call premium. :D
Thats probably because in todays market the humans do the buying and the bots do the selling. Humans accumulate and hedge via options selling. The bots do the rest.
Monday could be a wild one with new month/quarter/holiday return.
Love the low volume selloffs. The black boxes are running things the past few days ahead of the holiday as most firms took an early extended weekend. They want more shares cheaper it seems. Look the calendar and you'll understand whats going on.
Just the usual black box stop sweeper algo in effect.
Ignore the noise and hold strong. This is actually bullish if you can read between the lines.
Man I hope you are right. Will be adding a ton more tomorrow. I smell a bear trap with such low volume. Stop sweeper algo in effect ahead of next week's announcement(s). ;)
Declining subscriber growth yet again. The Z10 is DOA. Only buyers are probably being subsidized by RIMM to purchase the phones below cost. No one in their right mind is paying $700 for that piece of junk.