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A Random Walk In The Park On A Monday Morning. A Caution. Monday Mornings Are Often Not An Option Players Best Friend

Let's start with this. It's now 10:26 a.m. A bet on Caterpillar rebounding by the end of the week. There are no takers. Why have to watch the screen for the next four days in agony waiting for a rebound which if happens is just a "break even trade"? But Wait. I made a mistake. The market is actually now down 668 points. What else can we look at? Interactive Brokers. These kind of stocks always do poorly on days with the threat of margin calls. Yet there is something interesting about the printout I am about to show. It is that these options are "one-month-out" Calls. These longer term options trade differently than short term options. (these options trade in one month intervals). If the stock we are following stops it's freefall the value of the options will nudge up ten, fifteen or twenty percent. A seven dollar option Call might creep back up to $8.00 or $9.00 at which time it could be sold. In contrast with a five day option a slight reversal in ...
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"One Day Spikes and More"

This blog is going to write itself. Look at this chart and look at the volume of trading. There are no options on it.
. Some traders watch on their screens lists of the most actively traded stocks looking to daytrade situations like this. It's a different way to trade. Let's see what Monday's action brings.
A Tuesday March 9th update, Look at these premarket prices! Look at the volumes of trading in the last few days. This stock can't keep on going up forever.

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