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What does the word disconnect mean? As a verb it means "to sever or interrupt the connection of or between; detach". Option trading - one day options - is a disconnect from the world. What happens to slightly "out-of-the-money" Call options on Costco when the stock shoot up thirty dollars on the day? I will show you what happened on Friday to Costco Calls and the options on a few other stocks I frequently watch. What a disconnect from the real world. But before that a look at how the indexes traded. 1) Costco. It's five day chart and a look at how three of it's option series moved upwards in one day. You may not know how to read these printouts but try to read the highs and lows on these option pricings. One printout shows an "at-the-money" option which means you are buying a contract on the stock, good for one day only at a locked in price equal to (or very close to) what the stock is currently trading at. The other two contracts shown are ...
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Boeing and Google Calls the Best on the Day After a 800 Point Dip.

No one saw the drop coming. It was a really bad day. Stock holders would now be caculating their forty percent losses in their portolio to now reaching fifty percent. That's how bad it was. Some people say that playing options is to difficult to do yet owning stock is not always a walk in the park. Here are two of clips. The first one shows what was happening with the stock Google and the second clip shows
Boeing. These are of rebounds in the markets near the end of the trading day. The last hour of trading. Frequent "Google" and Boeing-option-traders" loved it. Now here are the opening numbers thirty minutes into the market on the following day. Things are up enough to give Call option traders a tradable opportunity.
Now can to see option trading as being interesting? Here is the strange thing. Go back and see the number of contracts traded on Google in the first three or four minutes of trading. There was suprisingly only one. With the size of our earth and the millions of people in the stockmarket why did only one trade happen which would have included premarket activity? That's strange to me. On the next day Wednesday, Boeing popped.

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Living on Kraft Dinner?

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What does the word disconnect mean? As a verb it means "to sever or interrupt the connection of or between; detach". Option trading - one day options - is a disconnect from the world. What happens to slightly "out-of-the-money" Call options on Costco when the stock shoot up thirty dollars on the day? I will show you what happened on Friday to Costco Calls and the options on a few other stocks I frequently watch. What a disconnect from the real world. But before that a look at how the indexes traded. 1) Costco. It's five day chart and a look at how three of it's option series moved upwards in one day. You may not know how to read these printouts but try to read the highs and lows on these option pricings. One printout shows an "at-the-money" option which means you are buying a contract on the stock, good for one day only at a locked in price equal to (or very close to) what the stock is currently trading at. The other two contracts shown are ...
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