Entered into FB the day before earnings via a call ratio spread. Selling 1X Feb 07 strike 54.5 calls short and buying 2X Feb 14 strike 60 calls long.
The strike spread was to large. Unloaded the 54.5 short today and if the price action breaks to the upside before the feb 14 long expires the trade will work out ok.
Curious of any options strategies that can play this price action.
FB has held strong against the market selling, holding this middle ML will be key. however, this tape does not appear strong, therefore, the probability is against me here.