Busted Roll: KKD

My KKD position has been sitting on the shelf since my vertical option spreads expired worthless on Aug. 16, waiting for a fresh buy signal that would allow a roll into a new options position.

That signal never came, and today the stock gapped sharply lower on a large negative earnings surprise, eliminating any chance to roll forward and signalling that it was time to take KKD off the shelf and calculate the profit or loss.

I've updated my initial entry post with details and results.

References
My trading rules can be read here. And the classic Turtle Trading rules on which my rules are based can be read here.

Disclaimer

Tim Bovee, Private Trader tracks the analysis and trades of a private trader for his own accounts. Nothing in this blog constitutes a recommendation to buy or sell stocks, options or any other financial instrument. The only purpose of this blog is to provide education and entertainment.

No trader is ever 100 percent successful in his or her trades. Trading in the stock and option markets is risky and uncertain. Each trader must make trading decision decisions for his or her own account, and take responsibility for the consequences.