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Trade Alert: Another Bet Against A Bank
Plus a an exit.
Note: Unlocking this post, as the bottom just dropped out of First Republic Bank (FRC).
Two More Trades
I got these filled with limit orders placed before the market open, and it looks like you may get better prices on both of these now:
I exited our earnings call spread on Taylor Morrison Home Corporation ( TMHC 0.00%↑ ) for a net credit of $1.70, a gain of about 14%. It looks like their was a delayed positive reaction to yesterday’s earnings report.
I bought the $3 strike, July 21st expiration puts on First Republic Bank ( FRC 0.00%↑ ) for $1.36. This is basically a bet on the bank going out of business or being acquired for peanuts in the near future. I looked at using a put spread here, but the risk/reward looked better with straight puts in this case.