Max Grigoryev
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Max Grigoryev in Fundamentality,

BA: get your 4% return on Friday

Boeing announced its earnings this morning: the stock grew up more than 3% after the release. Sounds good, doesn't it? Yes, especially if you didn't miss this move and bought calls a few days ago, or at least the stock itself. But don't forget that you still have a chance to earn some money from the increased volatility. What you can do is simply to sell strangle. 

I found this strategy working on Apple a few hours ago and now it seems to be working on BA as well. So the initial outlay is the following: 

So basically you are selling deep in money options. You can tell me: "Why should I sell deep in money options? I don't want to lose my money." And you won't. Basically, the difference between two strike prices is lower than a premium you can get for both of them. 

The only risk here is that the stock will continue going up, but your profit will still be positive at least till $147 (+8% from the current level). I think the chance that the stock will reach this level in two days is minimum. You PL profile looks like that:

Basically, if the stock will go down, you'll keep getting your $580 from two contracts (1 call, 1 put). If the stock goes higher, your margin will lower, but still, this is a great chance to make some money on a high volatility. 

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Here is my post with short strangle on AAPL - low risk, 8% profit.