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Ride-the-Wave Strategy – Best for Stock Traders

Ride-the-Wave targets multi-day price momentum following a company’s earnings announcement (EA). With this strategy:

  1. Buy a stock one day post-EA if a stock reacts positively post-earnings:
    1. Near the close of trading the EA-day for a pre-market-EA
    2. Near the close of the following day for a post-market-EA
  2. Sell-to-close after 7-10 days, or possibly earlier if a desired price target is reached

Similarly,

  1. short a stock one day post-EA if a stock reacts negatively post-earnings:
    1. near the close of trading the EA-day for a premarket-EA
    2. near the close of the following day for a post-market-EA
  2. then buy-to-close after 7-10 days, or possibly earlier if a desired price target is reached

Important: Ride-the-Wave is predicated on significant price momentum triggered by an EA. The 7-10 day scenario is the maximum trade hold-time. If you see post EA-momentum is halted or reversed by a significant opposite move, re-evaluate your presence in the trade.

This popular StockEarnings screen below will give you a list of stocks that historically exhibit significant price momentum following an EA for the next seven days:

  1. Stocks exhibiting positive post-EA price moves are buy-candidates
  2. Stocks exhibiting negative post-EA price moves are sell/short-candidates

The screen includes those stocks whose Earnings just came out in last two days.

Screen criteria:

  1. Earnings Date Start Date : Current Date + -1 Day
  2. Earnings Date End Date : Current Date + -2 Days
  3. Predicted Move (Next Day) Max : 7%
  4. Predicted Move (On 7th Day) Min : 7%

Strategy Guideline:

  1. Buy the stock if stock has reacted positively. Short the stock if stock has reacted negatively (see above).
  2. Close the position in 7-10 days, or possibly earlier based on price move.

Volatility Crush Strategy - Best for Options Traders

The Volatility Crush strategy is used with stocks that typically experience relatively low-to-moderate price moves (≤4%) following their Earnings Announcements (EA). The basic trade idea is to sell put or call options right before the EA, collecting a credit when options premium is very high due to elevated implied volatility (IV). You then close the position right after the EA by buying the option back much cheaper due to the significant drop in IV that occurs after the mystery of the EA disappears. In assessing this trade, you need to do your homework to ensure you collect sufficient premium to make the trade worthwhile.

This trade is practical due to the low-to-moderate price-move after the EA, which generally won’t significantly affect the options price, unlike an “action” stock, which experience great price moves post-EA. With these symbols, if you’re on the right side of the price move, that’s a great thing. But if you’re on the wrong side of the move, not so great. Consequently, by minimizing the effect of the post-EA price move, you have a much better chance to profit from the reduction in IV without it being ruined by a violent price move.

For this trade, open the position either (1) the night before the EA when the company announces earnings or (2) during the EA day when it announces post-market, generally capturing IV at or close to its peak.

For this trade, open the position either (1) the night before the EA when the company announces earnings or (2) during the EA day when it announces post-market, generally capturing IV at or close to its peak.

This popular stockearnings screen will give you a list of stocks which do not react more than 4% fpost-EA. It includes only those stocks whose earnings are releasing next day.

Screen criteria:

  1. Earnings Date Start Date : Current Date + 1
  2. Earnings Date End Date : Current Date + 1
  3. Predicted Move (Next Day) Max : 4%
  4. Options Type: Weekly

Strategy Guideline:

  1. Options Strategy: Sell Call and Put
  2. Options Strike Price: Current Stock Price – (% Predicated Move x 2)
  3. Expiration Date: It should generally be the closest expiry immediately after the EA.
  4. Buy Insurance: Buying back Call and Put at Strike price which 10% lower than Sell Strike Price is optional but recommended.

Watch Video for More Detail

Volatility Rush Strategy - Best for Options Traders

The Volatility Rush takes advantage of increasing options premiums into earnings announcements (EA) caused by an anticipated rise in Implied Volatility (IV). With this strategy, Buy a Call and Put at-the-money (a long straddle) 2-3 weeks before the EA when IV is lower. Sell the position either (1) the night before the EA when the company announces earnings pre-market, or (2) during the EA day when it announces post-market, generally capturing IV at or close to its peak.

This popular screen will give you a list of stocks whose Options premiums tend to rise into Earnings. It includes only those stocks whose Earnings are at least two weeks away from today.

Screen criteria:

  1. Earnings Date Start Date : Current Date + 15 Days
  2. Earnings Date End Date : Current Date + 30 Days
  3. Predicted Move (Next Day) Min : 5%
  4. Options Type: Weekly or Monthly if that lines up with the two to three-week lead-time for entering the trade

Strategy Guideline:

  1. Buy a Straddle at or close to the money two to three weeks pre-EA.
  2. Sell the position either the night before the EA when the company announces earnings pre-market, or during the EA day when it announces post-market.
  3. Expiration date should generally be the closest expiry immediately after the EA.
  4. Straddle price should not be more 60% of predicted move.

Predicted Move (Volatility)

Similar to Implied Volatility in Options. Expected volatility % based on our Proprietary Volatility Predication Model. We are expecting that stock price will likely to reach % in either direction by the end of next trading session after Earnings are released and not necessarily the closing volatility %.

Why is it important?

    This indicator helps

  1. Knowing expected volatility in stocks after Earnings helps to decide trading stocks before Earnings Announcement.
  2. Taking Advantage of volatility collapse following Earnings Results by using Advance Options strategies such as Spread and Straddles.

Since Last Earnings

Change in share price since last Earnings release.

Why is it Important?

When share has gained more than 10% since it's last Earning release, it tends to over react to minor bad news and give up some gains if not all. So, it contains more downside volatility than upside When share has dropped more than 10% since it's last Earning release, it tends to over react to minor good news and recover some drops if not all. So, it contains more upside volatility than downside.

EPS Surprise (%)

Occurs when a company's reported quarterly or annual profits are above or below analysts' expectations. Here is the formula to derive % EPS Surprice:

Actual EPS - Estimated EPS
------------------------------------- x 100
Estimated EPS

Why is it Important?

Earnings surprises can have a huge impact on a company's stock price. Several studies suggest that positive earnings surprises not only lead to an immediate hike in a stock's price, but also to a gradual increase over time. Hence, it's not surprising that some companies are known for routinely beating earning projections. A negative earnings surprise will usually result in a decline in share price.

Next Day Price Change (%)

Next Regular trading session Closing price following Earnings result.

For After Market Close Earnings, It is a next trading day closing price. For Before Market Open Earnings, It is the same trading day closing price.

Why is it Important?

Next Day price change is a reaction of Earnings result.

Weakness in These 3 Dividend Aristocrats is an Opportunity

Posted on May 11, 2026 by Ian Cooper

Weakness in These 3 Dividend Aristocrats is an Opportunity

With markets collapsing, top dividend stocks are getting caught up in the pullback – which investors may want to take advantage of.

For long-term investors, that kind of broad-based selling can create opportunity — especially when high-quality Dividend Aristocrats are involved. While short-term concerns have weighed on several well-known names, the pullback in these stocks may offer investors an attractive entry point, along with the benefit of dependable dividend income while waiting for sentiment to improve.

Why Roper Technologies Could Rebound After a Sharp Pullback



Roper Technologies (NASDAQ: ROP) is a diversified technology company that acquires and manages niche vertical software and technology-enabled product businesses. It operates primarily in application software (healthcare, transportation, education), network software, and engineered products.

After slipping from about $400 to about $313, it’s just starting to recover.  Better, while we wait for it to recover even more lost ground, we can collect its yield of 1.06%.

dividend aristocrats - StockEarnings

ROP declined significantly after the company’s full-year 2026 guidance. Management expects revenue growth of only “approximately 8%,” against Wall Street’s expectation of around 9%, and guided adjusted earnings per share of $21.30 to $21.55 against the analyst consensus of $21.65. Worse, Q1 2026 EPS guidance range of $4.95-$5.00 came in below the Street’s estimate of $5.18. But does all of this warrant a 40% dive below its high? Nope.

Genuine Parts Offers Defensive Strength and Reliable Income

With a yield of about 4.06%, Genuine Parts Company (NYSE: GPC) is a leading global service provider of automotive and industrial replacement parts and value-added solutions. This is also a Dividend Aristocrat stock with 69 consecutive years of dividend growth. 

Most recently, it gapped from about $150 to $105 a share after earningsThe decline was driven by missing analyst earnings expectations, weak 2026 profit guidance, and concerns over slowing growth in its European segment.

dividend aristocrats - StockEarnings

However, demand for replacement parts tends to remain relatively stable even during economic slowdowns, since consumers often repair vehicles and equipment rather than replace them entirely. That defensive characteristic could help support future recovery. Meanwhile, investors are paid to wait through the company’s sizable dividend. Genuine Parts recently raised its quarterly dividend to $1.0625 per share, payable on April 2 to shareholders of record as of March 6.

While we wait for it to recover, we can collect its yield. It just raised its dividend to $1.0625 per share, which was payable on April 2 to shareholders of record as of March 6.

FactSet Research May Be Oversold After AI Fears

With a yield of 2.08%, FactSet Research (NYSE: FDS) was also knocked down. Analysts were concerned about weak fiscal 2026 guidance, increased AI-related spending, and industry-wide concerns about AI’s potential to disrupt financial data services. 

However, with a good deal of negativity now priced in, it’s starting to turn. After gapping from about $300 to a low of $183.10, it is starting to pivot higher, though. While we wait for it to recover, we can collect its dividend. Most recently, it declared a dividend of $1.10, which was paid on March 19 to shareholders of record as of February 27.

dividend aristocrats - StockEarnings

Dividend Aristocrats Can Reward Patient Investors Over Time

For investors focused on long-term income and stability, pullbacks in high-quality Dividend Aristocrats like these can present compelling opportunities. While short-term uncertainty may continue, patient investors could ultimately benefit from both capital appreciation and growing dividend income over time.

Historically, periods of market weakness have often created some of the best entry points for fundamentally strong dividend stocks. Companies like Roper Technologies, Genuine Parts, and FactSet have established businesses, durable cash flow, and management teams committed to rewarding shareholders through consistent dividend growth. While volatility may remain elevated in the near term, investors who focus on quality and income generation rather than short-term market swings may be well positioned to benefit once broader sentiment stabilizes.

Over the last 26 years, he’s taught thousands of investors how to trade news flow and herd mentality using a unique blend of technical and fundamental analysis. Cooper was among the few analysts to spot the financial crisis of 2008, the top of subprime and Alt-A, the death of Lehman Brothers, Bear Stearns, and New Century Financial, and even the Dow’s collapse to 6,500, as well as its recovery. He even called for gold to rally well above $1.500 when it traded under $600. At the moment, Cooper makes use of technical, fundamental and news analysis, to help individual investors grow their wealth. He’s a firm believer that hard work and thorough research will lead to investment success.

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