Scott Redler: Beyond Meat Delivers Big Time

Yesterday, I took Beyond Meat (BYND) call options into its earnings report.

Now I'm going to show you how the trade worked out, plus a quick trick for judging a stock's initial earnings reaction.

Here's the Tweet I sent to Redler All-Access readers:

As I noted, these trades are pure spec.

When they work out, they're amazing. And when they fail, you lose 100% -- which has happened to me in the past.

So I'm always extra careful with them.

Still, I liked the setup enough to speculate. And it worked out nicely with BYND gapping up over 25% at the open.

Here's a chart of the call options:

The calls opened at $27.30 and hit a high of $29.50 before coming down to $20 in the first minute.

I was out of all my calls by 9:41 a.m. ET.

But what if you didn't get in ahead of the print?

What could you have done?

Well, after a company reports earnings, I always look to see if a prior momentum high gets taken out. If it does, the stock often extends.

In this case, it was the $108.67 high. You can see how the stock sliced right through it after hours yesterday:

Again, this was a high-risk trade -- but sometimes, the reward is worth it.

Positions Disclosure: As of 6/7/2019 at 11:02 a.m. ET, Scott J. Redler was long UBER, AMD, GOOGL calls; is short SPY