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Towards Understanding The Usefullnes Of Long Term Call Options

What do you think of this chart? It's Moderna. It's going to do something but what is it going to do? Up or down and what time horizon should we be looking at? Should it be two days, a week or perhaps two or three months? Here is the chatter about it. Moderna got smoked and now its time to get over it. It's that simple. Here now is how it is trading the morning after. For option traders this is kind of a "no win" situation. Yes it could move up but it could also start to waiver again. Stay away. Now Moderna on the following day. Here is a new chart to look at. Here is what caused the dip. It has had a good run. So now what? Maybe the longer term Calls? Maybe however there is a problem with them. Built into the equasion on both of these stocks is the mindset that they are both going to recover from these tumbles. Look at how expensive these two different series of twelve dollars "out-of-the-money" Call options are on Eli Lilly. It's ridiculous....
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Walmart Shines on Earnings Reports

Look at this chart.
It's the five day chart on Walmart leading into this morning's opening bell. Walmart releases it's second quarter eanings report before the opening bell. But wait, look at this chart.This wasn't that long ago. Walmart at times can stumble. Do consumers, hit by inflation have money to spend?
Now also look at this one.
My point is that if you guess the wrong way on Walmart you will get burnt. So now how are the cards stacked up this morning waiting for this earnings report? Here is a look at two close to the money Calls and Puts.
So here is what happened about twenty minutes after the opening bell.
The Puts got obliterated. The real winners were all the Call option purchasers who got in a few days ago. Here is how this option series closed the day.
Why did happen this way? In a way Walmart's results act as a barometer of how the U.S. economy is doing. It's mainstream in a different way than Costco. Opportunities to make a judgement call like this happen four times a year.

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