A 'Sell the News' Play on Square

Despite a few big names grabbing the headlines with big moves higher after earnings, like Facebook (FB) and Apple (AAPL) , the trend post-earnings has been sell-the-news, especially outside of the Dow or biggest tech names. Many mid-cap tech and momentum names I follow have suffered this fate, which puts a mild concern on Square (SQ) reporting tonight.

Long-term, my view on SQ remains bullish and buying shares holds appeal. I carried over shares from AAO and I've placed a partial hedge on them with the thesis that I'm willing to add shares near $22. I already hold a ratio call spread against long shares and this morning I'm adding a ratio put spread against shares....126 more words left in this article. To read them, just click below and try Real Money FREE for 14 days.

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