This is a perfect example of using options to trade earnings. Getting just a few trades like this per month you can easily make a good living.
Couldn’t trade the first earnings shown here with put options because the stock was in a strong uptrend. It was a long exit ahead of earnings.
The second earnings was a mth swing high so this earnings was shortable or with put options based on technical and fundamentals.
The third earnings was the rights shoulder of a head and shoulders, so defiantly a high probability short here. As you can see the analysis paid off.
PCLN weekly head and shoulders.
PCLN mth swing high. Nice wide of the flat kijun sen.