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Showing posts from February, 2022

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Why Not To Buy Not Rivian Calls With Two Days to Go?

It's obvious right? If you mess up and the stock opens the wrong way you only have one day for a rebound. Why put yourself in that position? Others might be in the camp of saying why not go for a fifty percent rebound on Thurday's morning opening. The stock sold of on Wednesday on very little volume. A morning pop is possible. The stock has being strong as of late. Here is it's five day chart. Now this, the seventeen series of Calls that expires in two days. They do look cheap after hitting a high of $1.55 on the day. If we look at a 30 day chart we will see that the stock is still in an uptrend. Why not look at the Call options one and two weeks out? Here are the seventeen series of Calls one and two weeks out They would be much safer to play and I will check in on these ones at a later date. So what happened on the Thursday opening? Let's switch gears for a moment and look at how Roku, a much higher priced stock opened and look at how their Call options moved.

A Four Minute Intro to Nio

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Last week Ford was the second most active stock traded on the NYSE by share volume. It closed at $17.83, down 1.2% on the week. Nio was the fourth most active stock traded on the NYSE by share volume.That's an accomplishment in itself. It closed at $20.94 down 9.8%. Here is a picture of one of the electric cars it races. It is the fastest electric car in the world. Here now is some company news. Now let's look at it's trading history starting with a three year chart and followed by a one year chart and then finally a one week chart. Might this stock, and Ford start to rebound back up in the first quarter of this year? It's chart isn't particularly attractive but the story behind the chart seems to be good. The stock's price got ahead of itself. I will be tracking the Call and Put options on it this week. *** I am not a fan of purchasing Calls or Puts with one week to go on stocks in the 20 price range. The premiums are to high with only five trading days to

What Happens on the Day After a 100 for 1 Reverse Split. Are Shareholders In A Better Position? SugarBud (Symbol SUGR)

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Management was sleeping at the switch today to allow their share price to drop 24% on a volume of only 30,000 shares on a day just after a 100 to 1 reverse split. With somewhere over five million shares left outstanding a drop of 24% wipes out about one million dollars in shareholder value. Lets add to this storey the following information. I also note that there was some good news. Yet then again, how good really was this news? So now what? Check out Sedar. Look at how SugarBud is filled to the rafters with inventory that is not going anywhere and look at how their operating expenses are double what their gross sales are. You can't run a business that way. In a recent blog I noted how "Eve and Company" (Symbol EVE.V) near London Ontario Canada also has inventory problems. There is nothing special about growing weed. Anyone can do it. It's an industry of the survival of the fittest. When I looked at the Mendocannabis.ca website I came across "Nextleaf Solutions

Deere and Boeing, The Second Day In A Row With A 500 Point Day Decline

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In this market environment playing the market has become for some traders an hour to hour exercise. Many investors shy away from this method of trading and consider it to be a fool's game. Yet at times opportunities present themselves that are just to good to ignore. First, here is how the markets closed out the day followed by where the DJI index was at at 1:30 p.m. this afternoon. It got ugly quickly in the early afternoon. Here are a look at Deere and Boeing at that time. Now for some afternoon Deere "Put" quotes. Deere spent most of the morning in the 398-399 range at which time the 400 series of Puts that were to expire that day traded down to $2.00 a contract. Can you see that? Here is how this series of options closed on the day. Note the price swing in the day from an interday low of $200.00 per contract up to a high of $1,057.00 per contract. This you might say was a one time blip. Yet what's going to happen to Put options on a stock in the $400.00

Deere and Caterpillar - A Market Drop 500 Points In One Day.

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The markets crashed 500 points so play John Deere Puts. It sounds simple but it isn't. Look at these charts on it today. First a mid day chart which shows Deere jumping up quickly on the opening and then a one day chart and finally a five day chart. So I decided to play it on the downside thirty five minutes into the trading session after it jumped up on the opening with a Put option that would expire on it the following day. I was fishing. It was the 390 series of Puts I was looking at and they were about eight dollars "out-of-the-money". Sound crazy? Well I wouldn't actually need a drop that large. A move of let's say five dollars to the downside during the day would be enough to generate a profit. Here is a chart showing the 390 Puts for the entire day and a cancelling of a my buy order early in the morning. At 9:54 a.m. I cancelled a buy order for a 390 Deere Put for $1.05 dollars when they were trading for about $1.10 This buy ticket was placed only ab

Hog Again (Harley Davidson) and Caterpillar

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Back on November 3th 2021 I wrote a blog about Hog and I was of the opinion that stocks in the thirty and forty dollar price range were difficult to play. They are and it takes good news to cause them to pop. Today Harley Davidson popped on an earnings report. Here is a five day chart which shows how much it bounced. It's difficult to watch everything - I missed it. Noted here also is a reference to "LiveWire", a spin off of it's electric motorcycle division.That's something worth investigating. Now here is it's chart showing todays activity. After you look at it I have an interesting observation to make. Here now is a look at how the 38 series of Calls traded on it today. What is of interest is the number of open interest Call options going into the opening and the total number of options traded today. Nobody was playing it, meaning the outstanding open interest going into this earnings report was very low. After you look at this chart I will try to bette