Not a terrible idea since the earnings report was indeed solid. But all that matters is the reaction to earnings which was negative. I should have waited on the sidelines to see the market’s reaction. The upside was a little smaller than the downside from my entry price. Hence, the risk/reward was bad in this case. Next time, do not play stocks that gap down on earnings report – that’s a bad sign, these stocks rarely bounce back. And even if they do, it may take a lot of time.