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Two Hour End Of Week Option Trading On Tesla

I didn't catch it but it was there for the taking. Options on Tesla are one of the world's most actively traded options. Tens of thousands of these contracts trade everyday. It's best to trade them using only recently made profits. At 1:20 p.m. Tesla was trading at $366.00 and then forty two minutes later it was trading at $360.05 That's a $5.95 drop. It's one day chart shows us that move however it is barely noticeable. It had larger drops than that earlier in the day. Here is it's five day and one day charts. Here is a better one day chart. It's drop starting around 1:20 p.m. is more noticeable with this chart. The Call and Put options expire at 3:00 p.m.. Now this. This chart shows us the timing that these Puts jumped in price. So here is a question. Who is going to be stupid enough to be playing around with Tesla Puts that expire in less than two hours? The answer is traders clued to their computer screens watching these options go from $1.00 to $1.25 ...
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LiveWire

My last blog was about Harley Davidson and what I didn't bring into the conservation was their spin off business which is building electric motorcycles. To be honest these bikes are not getting rave reviews. Two complaints are their crippling range and the possible issue of them being more dangerous to drive because they are so quiet. There is also competion from abroad. Last quarter they built only 63 of them and that experience is part of the company expecting to incur a loss of over $115 million this year. If you do the math each bike built cost them over $200,00.00. A $115 million dollar loss vs a profit of $1.3 billion for Harley Davidison. That loss makes a small dent in the overall big picture and in the process of getting going they used other people's money. Nursing this project to life from a business point of view has merit. Covid didn't help anything. LiveWire has to go slow until the product itself evolves to a level they feel proud to put their name on. Investors know this companies pedigree. See it's chart and read this.
Now go back to the previous blog on Harley Davidson. Put this puzzle together anyway you want. Forcasting of 750 units on the low end is still a three fold increase in production levels from where they are at now. Could they turn to be profitable in the next 1,000 days? Maybe. Yes there are options on LiveWire. Here are the Oct20th/2024 Calls with a striking price of 7.5 and 10 dollars. That's as far out as you can go and no one is trying to play them. The bids and asks are to far apart.
Keep in mind the company will continue to lose money all year. What a muddle. There are easlier games to play.

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