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Tuesday, December 1, 2015
RH: Purchase @ "91.7"; Sale @ "93.2"
Common Cents purchased and sold a December 18 $85 dollar call option today. After purchasing the option for $6.7 and selling it for $8.2, Common Cents netted a profit of 22%. The purchase was made as RH's share price declined to the high $88's on no pertinent new information. Going forward, Common Cents will look to repeat similar trades prior to RH's earnings release on December 10. However, with the recent Goldman Sachs downgrade, caution is warranted in these trades, as sentiment for RH seems to be wavering a bit.
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