Hedge with AVP Puts

Establish Two-Sided Protection

By Bryan Bottarelli
Tuesday, October 25, 2011 12:09 PM EDT
Tue, 25 Oct 2011 16:09:00 GMT

PLAY: Buy the AVP November 23 Puts (O:AVP 11W23.00) at market, good for the day.

Dear Bottarelli Research Member,

With all the news and uncertainty surrounding the European debt resolution, it’s a good idea to simply get positioned on both sides of Avon Products (AVP – NYSE) leading into their earnings report.

Since we already own the AVP November 24 Calls (O:AVP 11K24.00), let’s now turn this play into an official Earnings Strangle by also adding AVP November 23 Puts (O:AVP 11W23.00). We’ve hinted at this in previous alerts. Now, let’s make the move.

PLAY: Buy the AVP November 23 Puts (O:AVP 11W23.00) at market, good for the day.

And as always…

Lock and load!

Sincerely,

Bryan Bottarelli
Editor, Bottarelli Research
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