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TP Says...
Wednesday, January 22, 2020
The Internet has a justice all its own.  When a scammer tried to get an electric toothbrush for an obviously mismarked price at a TGT store in Massachusetts then went on social media in a faux outrage, the ‘net rallied around the beleaguered cashier and raised over $30K (at the time of this writing) for her trouble.  Not bad.  So why, with all this love for TGT, which was ranked as one of the world’s 50 most admired companies by Fortune magazine, was the stock down the equivalent of 4 standard devs yesterday?  Rhetorical question, I know.  But it’s already one of the weakest of the major retail stocks, and maybe all the bad news is already baked into its price.  Earnings are coming on March 3, and that could mean TGT settles a bit waiting for news to save or sink it.  Even though its IV rank is 18%, credits for short premium strategies are still attractive.  If you think TGT might trade in a range for the next few weeks before earnings, the short iron condor that’s long the 106 put, short the 108 put, short the 120 call and long the 122 call in the Feb weekly expiration with 30 DTE is a neutral strategy that collects a credit 1/3 the width of the strikes, has a 75% prob of making 50% of its max profit before expiry, and that generates $1.39 of positive daily theta. 
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