In These Times Option Trading On Caterpillar Is Near Zero
When you see Caterpillar drop over $21.00 dollars in one day with an earning report soon to be coming out what does that tell you? One could speculate that some institutional traders who own 71-72% of the outstanding shares are selling their shares and saying thank you for a good ride. Get out before it's earnings come out. It's a double in price in less than one year event. It could be said that the reason it has gone up so much is because everyone is waiting for the war in Europe to come to an end. The equipment that Caterpillar produces will be needed in the ensuing rebuilding process. This is forward thinking which has little to do with this years earnings. Now this printout. Friday's volume of trading in this one series of Call options was 100 contracts. That's a suspicious number. It could be one institutional trader trying their luck on selling short fifty contracts on this one series of Calls to then close them out later in the day. That would be a straight f...
