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AVAV: Anatomy of a Winning Earnings Play

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In this special video, Nightly Game Plan Moderator Sami Abusaad walks you through a winning earnings play in drone company AeroVironment (AVAV).

This video series is typically focused on swing trades, but since no swing trades triggered, this will be a special edition focused on Sami's proprietary Earnings Play strategy, which he only started using this year.

Sami used the Earnings Play to enter AVAV at $39.35, and exit the next morning at $44.67 for a $1,330 profit. (click here for a breakdown of our P&L calculations)

Here's how the trade went down:

In the video above, Sami's going to walk you through the Earnings Play from start to finish so you can understand:

  • How Sami analyzed the daily trend in QQQ, which he uses as a market proxy
  • The rationale behind the Earnings Play strategy
  • Tips for predicting the post-earnings reaction
  • How to judge expectations for earnings
  • Lessons from past earnings playes like DHR, TMO, and CY
  • Why AVAV appeared on Sami's radar
  • The ‘proof' Sami got that AVAV was a bullish play
  • Why he only took 250 shares

Click here to learn about Sami's Nightly Game Plan

P.S. Earnings Season is still going strong. Be sure to check out this FREE Earnings Season resource:

The Ultimate Guide to Trading Earnings Season

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