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Climbing The Wall of Greed.

It's a stupid market with stupid things happening. It's exhausting. Investors have to change out their investment strateties. Caterpillar and Deere had big gains this week and one week Call options on both of them went up in price 400 percent. In recent blogs I have talked about things like coming late to the party and making trades where you would make out like a bandit. Look at this mornings action in "Unusual Machines". I have talked about this stock before. Now this. A look at the Call options on "Unusual Machines" at 9:31 a.m. this morning after the stock jumped $1.57 on the opening. These Call options jumped 300% from their close on the previous day. Also look at the large open interest in these options. These Calls still have one week's life left in them. The question now is who would you be stupid enough to be throwing more money into this? Not me after all this that has happened. Now this. In forty four minutes the Calls that were already u...
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Visa - A Stock to Add To Your Radar Screen On A Friday Morning.

A credit crunch is happening and Visa should be enthralled in this action. Yet what does that mean for the stock on a day to basis? Not much. Watch last Fridays trading pattern which in many ways was similiar to how Boeing traded last Thursday. That was the subject matter of my last blog. First at look at last weeks five day chart and it's Friday's one day chart.
Like my last blog, this is another example of a "purchase on a dip" scenario. Presented now are three different series of Call options all of which expired last Friday.
Would you have the guts to be buying Call options on Visa on the dip it had last Friday morning? These were Call options expiring that afternoon. Now look at this. Look at how Visa traded on the following Monday when the DJI charged up. Look at the action on the 222.50 series of Calls.
What does this suggest? To me it suggests that there is some trickery to how stocks can be manipulated on Fridays. The trick is in learning how to get onboard.

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