Pre-Market Alert: Sell FFIV Into Open

Lock in Modest Gainer

By Bryan Bottarelli
Thursday, July 23, 2009 9:29 AM EDT
Thu, 23 Jul 2009 13:29:00 GMT

PLAY: Sell your FFIV August 35 Calls (FLK HG) at or above $3.30, good for the day.

Dear Bottarelli Research Member,

Good morning.After yesterday’s close, network-equipment maker F5 Networks posted a quarterly profit that beat market estimates and raised their fourth-quarter results – both of which Wall Street loves to hear. FFIV said that Q3 net income came in at $22.8 million ($0.29 per share), up from the $19.1 million ($0.23 per share) they made one year earlier. On the news, FFIV is up over $1.80 in pre-market activity. This should offer a nice boost to our FFIV August 35 Calls (FLK HG), so let’s plan to sell them into this earnings-based pop now. Sell anywhere above $3.30 per contract, and lock in a modest earnings-based winner. Here’s the play…

PLAY: Sell your FFIV August 35 Calls (FLK HG) at or above $3.30, good for the day.

As for our other positions, I’ll keep you updated as the day progresses. Until then…

Lock and load!

Sincerely,

Bryan Bottarelli

Bryan Bottarelli
Editor, Bottarelli Research

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