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00:00ABIGAIL: JOINING ME TODAY IS CHRISTIAN, TRIBECA TRADE GROUP CEO. THANK YOU FOR TAKING THE TIME. WE ARE RIGHT IN THE HEART OF THE EARNINGS SEASON AT THIS POINT. I WOULD LIKE TO TALK ABOUT APPLE . BACK IN NOVEMBER, THEY PUT UP GUIDANCE FOR THE DECEMBER QUARTER THAT MISSED ESTIMATES AND THEN LOWERED THAT A COUPLE OF WEEKS AGO. YESTERDAY, PRONOUNCING THEIR FOURTH QUARTER P OR WHAT YOU MAKE OF THIS? > > A BUSY WEEK FOR EARNINGS. HIS DEATH ONLY A THING IN THE SPOTLIGHT. TWO BIG MEETINGS TOMORROW, A HUGE AMOUNT OF EVENTS THIS WEEK AND IT MAKES SENSE TO ME WHY THE S & P IS SITTING IN A NARROW RANGE WAITING TO GO UP OR DOWN DEPENDING ON HOW THE MEETINGS GO AND HOW SOME OF THE HEAVY HITTERS, APPLE, MICROSOFT, AMAZON AS WELL. > > IT IS A LOT OF INVESTORS WHO ARE ON THE SIDELINES. IN TERMS OF APPLE AFTER THE BELL, WE WILL KNOW SHORTLY TECHNICALLY IF IT IS IN THAT MAKE -- A MAKE OR BREAK CHART. WHAT ABOUT FACEBOOK, MICROSOFT, AMAZON, THOSE ARE OTHER BIG REPORTS COMING UP THIS WEEK. CREDIT SEEMS LIKE TODAY WITH MICROSOFT DOWN 2%, IT SEEMS LIKE RESULTS WE HAVE GOTTEN, INVESTORS ARE SHOOTING FIRST AND LOOKING LATER WITH SOME OF THE NAMES GETTING HIT A BIT. YOU CAN TELL INVESTORS ARE WORRIED ABOUT EARNINGS REPORTS COMING OUT. > > SO LONG AS IT IS LESS BAD, IT WOULD BE OK? OR DO WE NEED TO GENUINELY HAVE GOOD NUMBERS? > > IT DEPENDS ON THE SITUATION WITH THE COMPANY. LAST WEEK, THEY WERE SO BEATEN UP THAT IT WAS PRICED IN. SOME OTHER COMPANIES MIGHT NOT BE THAT WAY, ESPECIALLY MICROSOFT. LET ' S TURN TO YOUR TRADE IDEAS. I THINK YOU LIKE IT. > > SURE. I AM STICKING WITH THE SOFTWARE GROUP PERFORMING THE S & P 4.5% SO FAR YEAR TO DATE. REALLY NICE OUTPERFORMANCE IN STRENGTH FROM THAT GROUP, WHAT I REALLY FOCUS ON, RELATIVE STRENGTH. THE SERVICE NOW IS AFTER THE CLOSE TOMORROW, A 6.3% MOVE FOR THE NAME. HE LOOKED AT EARNINGS HISTORY, THEY HAVE GOT REALLY GOOD CONSISTENCY IN THE LAST EIGHT QUARTERS. THIS PRICE HAS INCREASED AFTER THE REPORT. IT IS GENERALLY 2.6% MOVE OVER THE LAST EIGHT QUARTERS ON AVERAGE. THE OPTIONS ARE PRICING IN RIGHT NOW, ABOUT A 6% MOVE. I LIKE SELLING PREMIUM HERE. LIKE SELLING A FOOT SPREAD AND COLLECTING PREMIUM. > > THANK YOU SO MUCH. THANK YOU FOR JOINING US FOR OPTIONS

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How Tribeca Trade Group's CEO Is Trading ServiceNow Ahead of Earnings

On this edition of "Options Insight," Tribeca Trade Group Chief Executive Officer Christian Fromhertz discusses his options strategy with Bloomberg's Abigail Doolittle on "Bloomberg Markets: The Close." (Source: Bloomberg)