Leaderboard

These are really options trades based on the last few days prior to expiration. I'd recommend reading "Trading Options at Expiration" by Jeff Augen where he goes into a lot of detail around this type of trading, and also dives deep into the options pricing behavior the last few days. In your examples, they were right after earnings, but they can really be any time just prior to expiration. A lot of his trade examples are using unbalanced ratio spreads where you are short more options than you are long, so lots of margin required. But it does get you thinking about some other strategies such as 1x3x2 spreads where you cover the extra shorts with further OTM strikes. But most of these trades boil down to a gamble of minimal price movement.

Bought a 40 lot of the 1-week 60 call calendars yesterday for 0.20 (I saw them marking for 0.15 at times after my fill so might have been able to get them for less). I set a GTC order to close at 0.28 this morning and it filled a few minutes ago. Wasn't all IV shifts that made it work as stock moved closer to strike this AM so luck involved also. 34% gain after commissions.