General Electric (GE) missed earnings and is gapping down

45 minutes pre-open GE is showing a $4 drop and will open at 32.50.  What to do?  If you like GE in the long term you might think about selling the 30 May put.  This will give you a good discount to the stock and you could end up owning GE at 29.  If you want to protect your downside maybe sell the May 29 and  buy May 27 for a BLPS.

If you are looking for a little quick income in a speculative account you may want to trade the Aprils.  Keep your sizing very, very small and have your stop losses in place.

Mojo

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