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Tesla is Down About $20.00 In Pre-Markets On A Friday Morning After Losing $20.00 On The Previous Day

Here it is. What are we looking at? We are looking at Tesla's one day trading action yesterday which was a day when the markets had a big decline. We are also looking at the "bid and ask" on Tesla in the premarkets this morning which is a Friday. A bid now of "383.60 ask $383.70". It's unusual the spread it so tight making it in theory a good time to make an "at market" trade. I would be more inclined to purchase a $390.00 series of Puts and bail thirty minutes or so after the opening. It's 7:57 a.m, as I write this. In the past I have witnessed these exaggerated premarket declines shrivel up to near nothing as the opening bell approaches. Is that going to happen this time? Tesla now at 8:36 a.m. in the premarkets. Notice only a small price change upwards? Now at 9:20 a.m. and things have not changed. That is a strong indication that things are not going to get better. Other stocks are set to open lower after yesterdays big decline. Even gett...

Ford - An Earning Report

Ford is going electric, that's the buzz. We all know the story. Earnings just came out on the stock and the Call options jumped on the opening. If you were playing options you had to get out just after the opening. With option plays on earning reports that's usually the way to best way play them. First, I will show the prior day's action. There was a gap down on the opening and 94 million shares traded. That's a large number. People were cashing out after recent good times.
Now here is a chart of Ford the next day and here is how two option series traded. Buy in at the close and sell out just after the opening. Look at how high each series traded up to just after the opening. The earning numbers were not all that great but it's the buzz about going electric.
Ford is one of the better stocks out there to play earning report releases. ** Scroll up to the upper left and read my most recent blog on MacDonald's earning report.

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