Featured

One Week Options. Are They A Good Bet In Times like This?

Look at how these these four stocks traded last week. 1) What a great week for one week Call option players on Boeing even though the stock ended up down .83 cents on the week. 2) Roku. Roku hasn't yet recovered from a not so good quarterly report. Roku lost $1.13 on the week. (Netflix in somewhat the same space was up $35.780.) 3) Disney suprised. I talked about that in a recent blog. 4) Now Caterpillar. It was up $12.83 Now The D.J.I. was down .11% or basically flat. In good times Call options can be your best friend. To be continued. Here is how Roku traded on the day.

Boeing - A Decision -Up or Down on a Friday Morning and Looking at Slightly Out-of-the-Money Calls As A Vehicle of Choice

Slightly "out-of-the-money" Call or Put options give you the greatest kick with only one day to go. With that in mind look at what was happening to the 222.50 Boeing Calls during the first hour of today's trading. On the opening the stock didn't seem to know which way it wanted to go and markets like this can be very exciting for option plays who want to make a flip in a matter of minutes. They just want to-get-in-and-out and never want to think about it again until next Friday morning at the same time.
Getting out an hour later was the name of the game. NOW Lets review this blog. It's saying to put a bid in at the opening on a Friday morning on slightly "out-of-the-money" Calls on Boeing that expire that day. At what price? Well in this case which is extreme (that's what your looking for) it's saying not to have a bid in on the opening but rather a bid in during the premarkets. In this case you would want to have a premarket bid already in at let's say somewhere in the range of one quarter of what it closed at on the previous day. I can't say an exact price but you can use what happened on the opening this morning as a future guide. Is that a good strategy? It depends what you consider to be good. It could be if your style is to "get-in-and-out" quickly with a winner takes all attitude in the first thirty minutes of trading, followed quickly by a mindset of cancelling all of your outstanding buy orders and walking away for thr rest of the day. Option playing doesn't have to be an all day obsession.

Comments

Popular posts from this blog

Boeing Down $20.00 or 8.03% On A Monday Morning

The Three Amigos On A Friday

Fun With Charts - Deere and Two Days To Go.