By Dan Darrow
December 01, 2022
Intraday Update: SNOW
SNOW has had a wild 24 hours. The stock sank sharply into the low-120s after reporting yesterday, lining up perfectly for the bear portion of the Dec09 strangle. SNOW began to bounce during the conference call, however, and this morning it actually opened green and has continued to rally higher, marking a ~$30 reversal off the after-hours low. With the Dec09 $157.50 - $162.50 call spread now worth ~75% of the overall strangle debit, it makes sense to scale back risk a bit as the rally could be susceptible to a near-term pullback. The plan will be to close the call spread and roll up to a tighter Dec09 $160 - $162.50 call spread. Also, the Dec09 $124 - $119 put spread will be closed to salvage some premium.
Trader Author Portfolio Holdings
**As of the date and time of publication