1:05pm (EST)

The bulls are on hold  as the market is trading slightly lower ahead of today’s big Fed announcement.  There are only a few sectors trading higher with the Transports showing strength.  The Financial stocks are slightly lower and will a great way to play this afternoon’s action.  Index option trades will also be volatile so there may be an opportunity there as well.

As far as earnings, there was one trade we liked this week and we highlighted Adobe Systems (ADBE, $51.69, up $3.55) as a possible candidate.

In June, we said Adobe would surprise Wall Street as they rolled out their subscription based cloud services and suggested using call options to play a 5%-10% move in the stock.

Shares made a solid 8% move from $43 to over $46 after Adobe surprised the suit-and-ties with better-than-expected numbers.  The July call options we recommended zoomed from 65 cents to over $1.60 and we were out at an average price of $1.325.

The trade made 104% in less than 24 hours. (continued…)