BIDU has their earnings call tonight and one interesting trade idea if you are bullish is to put on an out of the money call fly to take advantage of a strong bullish move. Below is an example taking into consideration the market maker expected move of $16:
August 3rd expiration
Buy one 260 strike call
Sell two 270 strike calls
Buy one 280 strike call
Right now the debit for the trade is around $1.50 per spread.
Plan to exit tomorrow or later this week before Friday expiration. If this trade doesn’t work you will like lose the entire cost of the trade, but if it does work you could make 20% to 50% or more.