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Finding A Trade To Make On Thursdays. "Walmart"

I don't like Thursday afternoons in short term option trading. A lot of things seem to happen on Thursdays like government reports coming out. I don't buy in the final seconds of trading, Call options on Boeing, Caterpillar or Eli Lilly or hoping for a Friday morning bounce. The hope today is to do find something good to trade and walk away by early afternoon. Welcome to Walmart. Options on Walmart are tight. Other stocks like McDonalds have options which trade sloppily. Let me show you what I mean by this. Good luck trying to get a fair fill if you're buying or selling. Now the Walmart side of the story on how options trade on it. Can you see the tighter bid and ask and the higher volume of trading? Step back for a second and consider this. The stock is only up $.26 cents in the first 45 minutes of trading. What does that tell us? It's waiting to decide which way it wants to go. Now this. These Call options went on to move up to $1.71 just before noon. There was the...
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A Follow Up To A Recent Blog I Did About Playing Two Week Options

Let's begin by saying I am not a big fan of buying "two-week-out" options. Yes they cost a touch more than "one-week-out" options however that is not the reason why. I like thirty day out options and one year out options and Monday, Wednesday and Friday "one- day-options" better. So what's the matter with "two-week-out" options? Here is my answer. Back on January 6th we looked at the Interactive Brokers Group 180 series of Calls that expire on January 17th. At that time they were trading at $4.90 a contract. Here is a look at that printout I posted.
Now this, a Friday January 10th printout. The DJIA closed down over six hundred points on the day.
So here we are at the end of the week and we have for lack of a better word, wasted four days or almost half the life of these options. But wait. Can you see how they where down 47.66% on the day? That means on the previous closing session they were trading at $6.25 per contract. (It's a brokerage company so it's obvious it's going to drop on a day the market has a big sell off). Now a look at it's five day chart.
Imagine buying Puts on it on the morning rally on Tuesday morning and getting out at a huge profit minutes later at about 10:30 a.m. If you follow the charts wouldn't you recognize that could happen? If you answer yes then why do you need to clutter up your mind with "two-week-out" options. I say this because I feel more secure playing five, three or one day options than I do playing "two-week-out-options". Yet that's only me. ** Yes there was a decent profit to be had on the "two-week-out" options preceding Fridays precipice slide but that's another part on the "two-week-out" option holding syndrome. The urgency to take profits isn't there compared to playing shorter term options. ** How did these 185 Calls end up trading on January 17th?
Bottom line. The options on this stock are more interesting than most.

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