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A Look At Walmart Options Again

On Monday I did a blog on buying this week's Call options on Walmart and at the time of writing it I was looking for a small morning move upwards. Today is now Thursday and there was a big sell off in the markets yesterday. For example Tesla sold off and here is what happened to it. Today it is slightly rebounding as are many other stocks.(That often happens on days after the DJIA drops 620 points). Thursdays however as oftened mentioned are not the best of times to be buying into "one-day-options" on stocks that expire the very next day. In less chaotic times that would not always have been the case. Things like the release of farm payroll reports would often come out just before the markets opened on Fridays and they would help move the needle on the indexes going up or down. Getting into option positions on a Thursday with the intentions of getting out in the premarkets or just after the Friday morning opening morning bell was ofen a profitable trade to make. Now, tho...
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Looking for Monday Morning Rebounds. Stocks Mentioned. Deere, Tesla, Boeing and Ford

Deere did nothing last week and it moved up Monday morning.
Here is how two series of Calls reacted in the first 45 minutes of trading. First the Calls that expire in four days, the $400.00 series of calls.
Now the $402.50 Calls.
Gains of 47% and 50% respectedly. What about Tesla? The reverse happened. Here is its five day chart and it dropped $8.36 on the opening before rebounding slightly. .
Here is what the Tesla 250 Puts that expire this Friday did. They closed last Friday at $8.80 and went as high as $14.90 on the opening, a gain of 69%.
What is my point? Well both stocks dropped over ten dollars a share last week and both stocks did a rebalancing act this morning. Let me add more context. Its 10:45 a.m. and here is Boeing's five day chart. I have talked about how Boing sometimes jumps on Monday mornings.
Boeing is up just over $1.00 in the first 45 minutes of trading and is hovering at a price pretty much in line with where it was trading at last week. For this reason I would not of had placed it on the list of stocks to jump on a Monday morning. Yet another candidate for a Monday morning rebound this morning was Ford. Ford last week was the NYSE most actively traded stock by share volumes down $.85 cents on the week to $10.02 on a poor earnings report. That's a big drop. Look at its five day chart, this time at the 11:00 a.m.mark on Monday morning.
The reasons for looking at a rebound of some sort on this stock on a Monday morning are not as compelling as the reasons for looking for a rebound in Deere or Telsa. Yet the jump in it's price neutralizes to some degree some of the damage done to this stocks decline last week. That's what Monday mornings are sometimes know to do. The Ford options on it's one week 10 series of Call options also doubled on the opening.
Is all of this called playing hunches? I would like to think that there is more to it than that.

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