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Walmart - Trying To Outsmart The System

I don't know if it is going to work. Buying a Call and an offsetting Put on the same stock with the same striking price with two days of trading life left in them. The logic is to sell one of the two if it gets a double or more, (hang on as long as you can), and earn a free ride in an offsetting change of direction. Look at this five day chart and you might see how this train of thought developed. Now a look at one Call series and one Put series. These options both have two full days of trading life left in them. Here is it's five day chart which looks like it might break out. It really takes a share price move of over $2.00 quickly, to make this a fun experience. Options priced in the $1.00 range can suprise. It also could be a total bust. Let's follow this action and see how it all plays out.Thursday morning. I missed tracking the action but this is what happed.
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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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