If I am already in a position and the earnings is a few days away do I exit the position or tighten my stops?
Posted by Charlie Trader on 30 March 2018 04:11 PM

We advise members against trading a stock in the few days (a week) before earnings unless you are trading Guys specific pre-earnings or volatility strategies.

If you are in an existing profitable position approaching earnings you can choose to let it run, if the conditions suggest that it will remain so; or de-risk by closing out part of the profits leaving a smaller position on the table; or close out completely and look for a new entry post-earnings if applicable.

Closing out completely is the option for maximum safety in case of a gap not in your favour, but you may miss further windfall profits on a gap in your favour, or if the ticker keep moving your way.  Carefully consider your position and the options available to you.

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