Text extracted via OCR from the original document. May contain errors from the scanning process.
•
AMD - Buy Aug 17 strike calls for 96c (ref. 16.55, 48d)
o
Replacing delta protects 5.8% down, which is the roughly the implied move
o
Stock has high short interest, so the squeeze potential offers asymmetric risk to the upside
o
Breakeven is 8.5 % away; implied move is 5.6% but it has historically moved - 12%, with most big moves to the
upside.
•
M - Buy Aug 38 calls for $1.78 (ref. 37.15, 48d)
o
Replacing stocks protects 4.8% down, more than the implied move (3.2%)
o
Breakeven is 7% away, but with the elevated short interest squeeze potential can take the stock through
breakeven as has happened with retail stocks last earnings season
•
ADM - Buy Aug 140 calls for $4,20 (ref. 135.60, 41d)
o
Breakeven is 6.5% away; implied move is 6.84%
o
Using Aug vol trading lower than the July weeklies right after earnings and allows time for higher earnings drift if
this earning season develops similarly to last
Martin Zeman
Director I Key Client Partners
Deutsche Bank Wealth Management
DB Securities Inc
345 P k
r 1 154-0034 New York, NY, USA
Tel.
Mobile
Email
KCP practices and services are intended and available only for persons who are sophisticated institutional investors within the meaning of the FINRA
Rule 4512(0)(3). and who are capable of evaluating the strategies. characteristics and investment risks of. and exercising independent judgment in
evaluating. the ideas and products discussed herein. Trades and transactions are subject to relevant internal approvals of CBS? or its affiliates prior to
execution. and the execution of any transaction or idea discussed herein is conditional on your becoming a client of Deutsche Bank. Key Client Partners
(KCP) products, investment ideas and solutions and related matters dscussed herein are provided for discussion purposes only, and strictly on a non-
advisory basis. The KCP Americas desk does not provide investment advice. The information set forth herein is confidential and personal to you and is
being presented for your information and for discussion purposes only. Any reproduction and/or redistribution thereof (in whole or in past) or disclosure of
its content without our written consent is strictly forbidden. This communication does not create any legally binding obligation on the part of DBSI or any
of its affiliates.
CONFIDENTIAL - PURSUANT TO FED. R. CRIM. P. 6(e)
DB-SDNY-0089116
CONFIDENTIAL
SDNY_GM_00235300
EFTA01387062