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Costco. It's Short Term Options

 Options on stocks in the $1,000  range often move  50%  or more in only a matter of  minutes on the opening on Wednesday and Thursday's . The trick is to  anticipate correctly which way the markets are going to move. That's a fools game you might say? Yes and no. It may not be a game you ever play but it might be something to consider to put in your bag of tricks when you are on a role. One thousand dollar stocks sometimes move five, ten or fifteen dollars on the day. If you have profits it's best to take them quickly. Costco is a prime example of that. Let's look at this mornings action. First it's five day and one day charts. Tuesday's trading was kind of choppy. Might it drop on the opening tomorrow? Here is a look at where the 1,035 series of Puts closed that expire this Friday. They closed at $8.50. It looks like Costco cycled up about five times yesterday. Given a weak market opening doesn't it stand to reason a three or four or five dollar will be i...
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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.

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