Google (GOOG, $323.66, down $15.51) and 24 hours later the trade is showing a 30% profit. Google is set to announce earnings after the bell so we can expect more volatility. The October 400 calls (GOPJT, $2.40, down $1.60) were at $5.10 and the October 290 puts (GGDVR, $9.00, up $4.80) were at $3.40. It would have cost $8.50 to buy both option contracts or $850. At current prices, together they are worth $11.40. Basically, because of the market’s volatility we have been able to make over 30% in one day. The puts have actually traded above $13 this morning when Google hit $309. If you closed the puts this morning, you could have netted a 50% return on the trade AND you would still have the calls to play Google’s earnings after the bell. I had penciled in a 60 point move in Google and figured an 8%-10% gain for a two-day trade. Well, we got 40 of that and the trade has been a bigger winner. Maybe, just maybe, Google can knock the cover off the ball and report a good quarter that will take the stock higher. If so, the trade could return over 100%. Rick Rouse]]>