CAT Puts

Here is a stock chart to celebrate. It's the "Caterpillar-jumps-ups-up-in-price-chart-formation". Celebrations like this do usually not last all that long. Today the markets charged up as Trump talked about Toyota investing an absurd amount of money on investing in the U.S.A. One number bantered around was $650 billion. If that was to happen, wouldn't Caterpillar benefit from all of this action. They would afterall be commissioned to supply some of the heavy equipment suddenly needed to build all these new factories. Trump also cut the tariff's on Japan's imports down to the 20% level. Yet all of these numbers could change. Here now are three short term series of Call options to look at. All have jumped up in price in one day. Most option players would be super elated with short term gain like this. Here now are options with same selling price on the same stock, but this time one week further out. What do you notice that's different about these ones? Yo...

Here is one reason as to why it dropped. Now two different option series. First the Calls that expire tomorrow and second the Calls that expire next friday. Buy next weeks Calls and sell against them this weeks Calls? That would be scary. Why not buy an option on it ninety days "out-of-the-money" like this one? Talk is cheap. Maybe Telsa will flounder in price over the next couple of weeks and maybe it's better to just watch it and wait for a better entry point. Maybe wait until mid week next week and try to buy "near-to-the-money" Calls on it. Did you know the $7,500 tax credit for purchasing new electric vehicles(EVs) and the $4,000 credit for used EVs are still in place and will both expire on September 30, 2025. The hope for many is that Elon Musk in back in the saddle once again trying to rebuild the confidence in his empire. One additional point. Telsa's trading pattern over the last three or four weeks has provided multiple opportunities to ...

So G.M. and Ford are reporting tariffs are taking a bite out out of their profits. Rivian and Lucid are sneeking up on this news. Here are their morning charts. Options on $3.00 stocks can surprise. Here is Lucid's five day chart. Read my blog on Lucid that is only a few days old. I could be a day late to the party on these ones. I should have thought about this casual relationship sooner. Tariffs will hurt G.M. and Ford but not Lucid and Rivian as much. Here now is how the same Call options closed the day. What's nice about playing options on anything related to the auto section is that things happen for reasons that are somewhat explainable. Then there is Rivian. It had the same morning chart formation. Things kind of chilled in the late morning. It's Call options were up nicely on the day. Once again, G.M. was down $4.32 on the day. Now Lucid on Wednesday morning. Another jump up. Lucid stayed kind of flat. To be continued. Now Wednesday. It w...

The stock Ford reports 7/30/2025. In a July 2nd blog I wrote Ford talked about their June sales. Here is what I posted. Ford jumped $.50 cents on news of an increase in sales and this is how this one series of Calls (which were "out-of-the-money" with one day to go) jumped. This upward moment in price was like an once in blue moon occurance. So will earning's be good this quarter? Has Ford's recent good news story about increased sales in the month of June now lost it's importance? That is something we will have to wait to find out. General Motors has an earnings report coming out before the market opens this Tuesday. These two stocks sometimes share the same market momentum. G.M. seems to have plenty of inventory sitting on it's dealers lots and there is a barrage of You Tube videos now screaming that the car industry is about to crash. G.M. had the jitters all week but a smart run upwards as of late. Then there is the worries of tariffs. Investors are ...