February 3, 2023

Cabot Options Institute Earnings Trader – Alert (SBUX)

Starbucks (SBUX)

I will be exiting the Starbucks (SBUX) trade today. I will discuss the trade in greater detail in our subscriber-exclusive webinar at noon ET today, February 3. Register here.

Here is the trade:

Simultaneously:

Buy to close SBUX February 10, 2023, 120 calls
Sell to close SBUX February 10, 2023, 125 calls
Buy to close SBUX February 10, 2023, 100 puts
Sell to price SBUX February 10, 2023, 95 puts for roughly $0.35 or $35 per iron condor (As always, the price of the spread can vary from the time of the alert, so please adjust accordingly)

*If you are having issues exiting the trade, you can always exit the tested side (or tested spread) of the iron condor first, followed by the untested side. Also, if you choose to hold the trade to seek a greater profit, please be aware of the risks.

Andy Crowder

Andy Crowder is a professional options trader, researcher and Senior Analyst at Cabot. Formerly with Oppenheimer & Co. in New York, Andy has leveraged his investment experience to develop his statistically based options trading strategy which applies probability theory to option valuations in order to execute risk-controlled trades. This proprietary strategy has been refined through two decades of research and real-world experience and has been featured in the Wall Street Journal, Seeking Alpha, and numerous other financial publications. Andy has helped thousands of option traders learn and implement his meticulous rules-driven options trading strategies through highly attended conferences, one-on-one coaching, webinars, and his work as a financial columnist. He currently resides in Bolton Valley, Vermont and when he’s not trading, teaching and writing about options, he enjoys spending time with his wife and two daughters, backcountry skiing, biking, running and enjoying all things outdoors.