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What does the word disconnect mean? As a verb it means "to sever or interrupt the connection of or between; detach". Option trading - one day options - is a disconnect from the world. What happens to slightly "out-of-the-money" Call options on Costco when the stock shoot up thirty dollars on the day? I will show you what happened on Friday to Costco Calls and the options on a few other stocks I frequently watch. What a disconnect from the real world. But before that a look at how the indexes traded. 1) Costco. It's five day chart and a look at how three of it's option series moved upwards in one day. You may not know how to read these printouts but try to read the highs and lows on these option pricings. One printout shows an "at-the-money" option which means you are buying a contract on the stock, good for one day only at a locked in price equal to (or very close to) what the stock is currently trading at. The other two contracts shown are ...

Deere Lays Off /Tesla / Eli Lilly/ Home Depot/ Nio

It was announced today, a Tuesday that Deere is going to lay off some of it's workers. Perhaps that news was leaked out last Friday and that's why it could have sold off last Friday afternoon.
The stock basically has done nothing over the last three years but some traders love it for it's thirty day swings. I have talked about Deere before.
The markets were accepting of this news. In other news Tesla Call option traders are rejoicing.
Image getting in two trading sessions ago at $196.00 to watching it shot up to over $230.00? This was (it's up in the premarkets again) the Telsa trading opportunity of the year! Then there is upside movement in Eli Lilly.
But then there is this background news.
Now this. Talk of a hurricane. Will Home Depot go up?
Then there is Nio. It's shares trade huge volumes and the stock has a wide following. Might it trade back up to $6.00?
It's down almost half price on the year. One of the problems in trying to anticipate what might happen to it's share price movement is that we don't really understand the dynamics of their markets.Nor do we understand in North America how quickly China is going electric.
China continues to grow it's E.V. numbers. Visit the NIO website. *Now this. Chatter about the future of E.V's. This time it's a Ford executive talking about it's state of affairs.
Ford executives have a history of confusing their shareholders.

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Living on Kraft Dinner?