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Avis Budget and A Short Squeeze Plus Hertz Getting Dragged Into The Action

Hertz Global is on a terror. . Stocks in the $5.00 range sometimes do that. Yet really it's the Avis Budget short squeeze that is causing this stir. Look at how it jumped just over $105.00 dollars today. How often do you see a chart like this? It's a short squeeze and the stock is trading on high daily volumes. At one point this morning (a Tuesday) there was a "stop trading" on it. Trading options on it defies logic as they are so expensive. Look at this one example. These are the 700 series of Calls and the stock is only trading at 11:17 a.m. at $665.00. In other words they are $35.000 "out-of-the-money". Look at how crazy expensive they are. The stock would have to jump $105.00 or one hundred and five dollars by the end of the week just to break even! Who would be crazy enough to make such a bet? Day traders would be because they are banking on the effects caused by interday momentum. Let me explain this better by showing you an end of day reading on th...
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An Introduction

My name is Peter and about 45 years ago I did a short gig as a “Merrill Lynch” in Canada. I still live in Canada. Prior to my gig at "Merril" which lasted about two years I worked for another then well known Canadian brokerage firm that had a fancy office on the 55th floor of a downtown Toronto office building. They occupied the entire floor. In essence they were a "boiler room" operation (which dated back to the 1930's) which focused on penny mining stocks. My were major players in that space. My style of trading not fit in well. I was to busy watching and trading Exxon options and also watching the back office skim money off my more profitable trades. Stroke off one fill price and ink in another. Well they didn't skim it off at the Toronto back office that I know of however they did at another office in another town I asked to be transferred to. The lady on the desks accepting the trades would run off to the managers office before reporting to me the final ticket price. Things were different back then. I now work in an unrelated profession and oddly enough still have the designation of being a broker. I still have a passion for option trading. I like Fridays for trading "one-day" options. Six of my favourite stocks to now trade options on are Caterpillar, Ford, Exxon, Deere, Tesla and Boeing. I also watch and speculate other stocks in the five and ten dollar range that have options on them. There are times when I will take a week off from watching the market, knowing full well that I will be not be handicapped when I return to the action. In fact I return with fresh eyes. I read Barron's on the weekend. I need to be on a routine to play options and I don't trade with other people's money. Donald Trump has in some ways helped to make option trading easier. He says things which make the markets move. Let me now share with you what I am watching in the option markets. Some blogs are better than others. Some blogs get deleted with time. Tesla is the stock I have the most luck trading. I don't see that changing. Cheers.

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