Most of my trades usually occur during earnings season where there is lots of market volatility and one can see a quick return on investment really quickly. You might be wondering, what is earning season ? Well, every quarter, companies report their financials to the market and this report is released 4 times a year. Whether good or bad, an option trader like myself can profit and make money on the results with options. You see when these reports are released, there are huge price swings either to the upside or downside; the goal is to identify the right stocks and the right option strategy to realize a profit. It is not uncommon to make >50% return on an investment; you can click here to see my trades.
For example, to find out about when your favorite company reports earnings, you can visit the Yahoo Earnings calendar.
To understand the impact of a company’s earnings report on its stock price, see this article headline from Fast Company.
Before reporting its earnings on July 25th 2018 , Facebook stock was at $217.50, after it reported its earnings, the stock closed the following day at $176.26. The stock tanked over 20%; you see with options, you can make money if a stock goes up, goes down, or trades sideways. If you visit my trades tab, you will see how I profited from this huge move to the downside.