Earnings Beat – TSLA Trade

Market Context
Good day Insiders,

Tesla Motors is reporting earnings post the close today and we are set and ready to go! Does anyone have the engine!? At the time of this update, TSLA is trading at about 306. Volatility is at a rich 141% which gives us an expected move of +/-$30. This takes our upside to 335 and downside to 275. We are going to place our strikes accordingly (with excess room for whatever may happen).

Using the buying of the unbalanced condor, the selling of a put spread and the buying of a call spread.

The Trade
We are starting out with the selling of a put spread, the buying of the condor and finally the buying of a put spread.

Risk & Reward
Our risk on this trade (tough to see with screenshot) is $9,700. This price at which we need to start getting concerned is if TSLA breaks below 244. That is in excess of $50 worth on room to the downside, if TSLA breaks above 331 we are sitting pretty.