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Why Disney Options At This Point In Time Should Be On Your Radar Screen

Very few option traders trade short term options on Disney. The first two printouts below help to illustrate this point. Look at how low the open interest was last Friday on one series of it's Calls and one series of it's Puts. .. Most traders of these options are focused on making interday trades. The low open interest on both of theses series of options tell us that. Now look at how Disney traded on Friday, the last day of the week. Many of the trades made are AI induced. Reversals happened in the morning for example at exactly at 9:31:00 a.m., 9:33:00 a.m., 9:37:00 a.m., 9:41:00 a.m. and other times all to the second of the minute.That's a big the hint it's Ai trading. Now it's one month chart. Disney is down. Now a five day chart. Here is where it gets interesting. What it shows us is that some one week Put options would have doubled in price on a Monday and some Calls would have doubled in price on a Tuesday and a Puts would have doubled in price on a Wedne...
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Caterpillar Earning Report Plays

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So tomorrow is the big day when Caterpillar releases it's second quarter earnings report. It is expected to be good. Boeing just had a great earnings report yesterday and analyst are expecting Caterpillar to also report decent numbers. Let's look at the five day trading charts on these two companies and this mornings super strong premarket indicators. (It's always good to be selling into strong premarket indicators because history tells us that they never stay strong forever). It's July 29th and Caterpillar's earning report is tomorrow. Ford also just had their earning reports and good new also on that front. So far so good? Good news everywhere right? It's only good news if you can capitalize on it. What am I implying? Well I don't want to digress to far off topic however option trading can be an exacerbating experience. I missed the Boeing and Ford trading opportunites despite the fact that I anticipated both of these two companies would do well. Do I...
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The Trade of the Year

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It's not that complicated however it kind of slipped under the radar. It was a big name company we all know called Lowes. The payoff was wild. What are we looking at? Options that closed on Thursday at ten cents a contract and opened at one cent the folling morning, a Friday which then then hit an interday high of one dollar and fifty cents. A one thousand dollar investment would have went as high as $150,000.00. Folks, all of this is legal and anyone can play it. You could have made it all by lunchtime. What happened? Well we are talking about the 200 series on Calls that expired yesterday on Friday July 23th. At the start of the trding session they were over $3.00 "out-of-the money. Very few traders saw value in them. Yet Lowes did close strong on Thursday the day before it. Then it wobbled a touch on the Friday opening and resumed it's upward charge. The price of lumber is dropping and many people are waiting to purchase lumber at these new lowering prices. The kicker ...
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