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A Look At Walmart Options Again

On Monday I did a blog on buying this week's Call options on Walmart and at the time of writing it I was looking for a small morning move upwards. Today is now Thursday and there was a big sell off in the markets yesterday. For example Tesla sold off and here is what happened to it. Today it is slightly rebounding as are many other stocks.(That often happens on days after the DJIA drops 620 points). Thursdays however as oftened mentioned are not the best of times to be buying into "one-day-options" on stocks that expire the very next day. In less chaotic times that would not always have been the case. Things like the release of farm payroll reports would often come out just before the markets opened on Fridays and they would help move the needle on the indexes going up or down. Getting into option positions on a Thursday with the intentions of getting out in the premarkets or just after the Friday morning opening morning bell was ofen a profitable trade to make. Now, tho...
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Boeing - A Decision -Up or Down on a Friday Morning and Looking at Slightly Out-of-the-Money Calls As A Vehicle of Choice

Slightly "out-of-the-money" Call or Put options give you the greatest kick with only one day to go. With that in mind look at what was happening to the 222.50 Boeing Calls during the first hour of today's trading. On the opening the stock didn't seem to know which way it wanted to go and markets like this can be very exciting for option plays who want to make a flip in a matter of minutes. They just want to-get-in-and-out and never want to think about it again until next Friday morning at the same time.
Getting out an hour later was the name of the game. NOW Lets review this blog. It's saying to put a bid in at the opening on a Friday morning on slightly "out-of-the-money" Calls on Boeing that expire that day. At what price? Well in this case which is extreme (that's what your looking for) it's saying not to have a bid in on the opening but rather a bid in during the premarkets. In this case you would want to have a premarket bid already in at let's say somewhere in the range of one quarter of what it closed at on the previous day. I can't say an exact price but you can use what happened on the opening this morning as a future guide. Is that a good strategy? It depends what you consider to be good. It could be if your style is to "get-in-and-out" quickly with a winner takes all attitude in the first thirty minutes of trading, followed quickly by a mindset of cancelling all of your outstanding buy orders and walking away for thr rest of the day. Option playing doesn't have to be an all day obsession.

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