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Costco Is Flat In The Last Five Days.

Well it's actually had a couple of ten or fifteen dollars dips. Can you play it? Some would say why would you want to? If you look at the open interest in these two series of options below you will see that not many players want to. That in a sense that is a good thing. Here are two option series to look at. First the Calls that are set to expire this Friday. Now the Puts which are also expiring this Friday. Now here is it's chart a 10:05 a.m. If your looking for me to make some brillant comment as to what is going to happen next you might be in for a disapointment. All I want to say is that the markets had a bad day yesterday and the 980 series of Calls almost doubled in price on that day. My point is that these options have the potential (Tuesday options that expire on Friday) to make amazing moves. For example in a past blogs I wrote about Costco on March 7th this stock was down $69.60 on the day as I was writing about it! I have strong repect for these options. Recent...
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U Tube Videos and Carmax

I am hooked on youtube videos watching podcasts of what is happening in the auto industry. One subsection of this addiction is the Tesla story and another what is happening with the U.S. used car market. Who can afford to finance a used car these days with prices and interest rates so high? CarMax had their quarterly earning report today. Up or down? What do you think? Barron's on the weekend made a few bullish statements. "Analysis expect the company to report a fiscal forth-quarter profit of 46 cents a share on sales of $8.8 billion, an increase of 5% and 1% respectively. Sales should get a boost from tax refunds, which accelerated into the end of the quarter and an increased supply of newer used cars". So here is what happened on the release of their earning report.
As a blogger should I have told you this was going to happen before it happened? The human brain is lazy. If you think you can make money in option trading you are going to have to teach yourself to be ahead of the curve. Now look at how the near to expiring ( tomorow ) Puts did as of 12:45 p.m. today? First the 80 series of Puts.
Basically a double. In was a pretty straight forward reaction. Here now is how the extra spicy ones traded.
Mark this date down in your calender book and revisit this scenario a year for now. I should be collecting an email list of all the viewers who want to be reminded of events like this but there are many things I should be doing. *** An observation on Friday April 12th, one day after. Look at this five day chart.
Can you notice the dip in Carmax on the morning prior to the release of the earnings report? Was that a hint that something no so good was about to happen?

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