CAT Puts

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 upward move which did then happen. Today is now Thursday and there was a big sell off in the markets yesterday. Tesla for example sold off and here is a five day chart showing what happened to it. Today it is slightly rebounding as are most other stocks.(That often happens on the day after the DJIA drops 620 points! Traders jump in looking for bargains). 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...

I don't really want to write a blog on this topic. Yet the concept of trading one day options is increasingly becoming somewhat controversial. People often have harsh words to say about it, kind of like the diversity of opinions people have when it comes to the topic of cryptocurrency trading. Either you're for it or against it and if you're against it you will probably never change your opinion. Such is life. I get that. If you have a couple of million dollars in your bank account you might find the adventure of trading Friday morning options which expire that day to be somewhat entertaining. It puts your brain to work. I have being watching and trading in one day options (or options scheduled to expire in the same day you bought them) for approximately forty five years. That still doesn't make me an expert. I like one day options on the stock "Ford" in particular. Stocks in the ten dollar range for example can sometimes move fifty cents in one day which the...

Well actually it's a six minute read if you also want to read about an interesting dangerous Ford Call trade. Read this. I talks about the big picture. Look a how much money is being tossed around. Now ford. First it's five day cart. What happened? Well good news just came out that is being interpreted as being bad news. Now a look at the Call options that expire tommorrow Dec. 6th and next Friday Dec 13th. It will be interesting to see how this situation turns out.**Ford dropped in the last minute of the trading session with over 5 million shares getting dumped in the last minute of trading. Here is how the 10.5 series of Calls with one trading day left in them closed. Tomorrow will be interesting.

This post is easy to write. It's also something skeptics of option trading should read. Look at how all on the options exploded on this one. Here is why. Both of these articles were from Nov26th and 27th. Why the time delay in having this stock pop is something I don't understand. Back on Sept 5th and Oct 27th I did I blogs on this stock. Go back and read them. Both times I ended these blogs by saying "Do your homework on this one". Read my blogs about playing options on $5.00 stocks. Here now is how Vinfast closed the day. Now look at how the five series of Calls closed on December 5th (with only one trading day of life left in them). Profits on options on five dollar stocks come and go quickly. Here is a quick look at another company with $5.00 options that expire tommorow which had a few hours of glory in the last two hours of trading today. AMC Entertainment. *** The AMC story is complicated and the stock price is manipulated. These three snippents tell par...

Here is it's year to date chart. Look at the volume of trading coming into it towards the end of November. Now it's five day chart. What do I know about this stock that other traders know about this stock that might cause it to go up? Well nothing really. It's next earnings report does not come out until February 2025. Look at this series of Call options near the stock's current selling price that expire this Friday. That's two trading days away. It's Wednesday morning, the one day of the week you sometimes see market reversals. This series of Call options could be hot potatoes. Now here they are thirty one minutes later. Now another seventeen minutes later. These options still have 2.5 trading days of action in them. Anything could happen. Look at how Eli Lilly is trading on the day. It's up $22.00 at this point in time.There is no negativity today surrounding stocks in this segment of the market. Yet anything could happen. 1:19 p.m. trouble. Things...