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Tesla - One Day Options. Not Your Typical Read

This blog is going to be a tough read because it tries to track Tesla's early morning option trading in the last day of trading in the October 18th 220 series of Tesla Calls. Critics of "one day" options are having a hayday in pointing out these "one-day-to expiring" options are a mockery to concept of sound financial investing. Here is Tesla's premarket trading price in the 220 series of Calls at 9:29 a.m. on Friday Oct. 18th. They are flat. Remember last Friday was an exceptional day for the Tesla stock with it being hit with a $21.14 drop on the day. Do today's traders remember this? Probably not. Why should they? It's a given this stock can be volatile. Option traders playing the downside last Friday on Telsa made out like bandits. Now it's 9:31 a.m.reading. Up only eleven cents. Option traders are in a period of time where they have to deal with early morning trading jitters. Is there a glimmer of hope that this stock might bounce up one
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The Chaff From The Hay - Deere

Here is Wall Street putting a spin on farming.
What does all this mean for Deere and how this stock trade? Look at it's one year chart.
I have talked about options on Deere before. It's options are thinly traded and money can be made taking postions thirty days out and guessing right which direction it is going to go. Stories like this can help to change the needle. Now I would like to show you an example of an October "out-of-the-money" Calls.It is buying one months of time. Deere is at $372.00 and it would have to go up to $385.00 just to break even. Look at the chart. Is that a reasonable expectation? On first glance you might say that this series of Call option is to expensive. You might also say look at how insignificantly small the "open interest" is.
Let's now move forward one week and show a one week chart on Deere and revisit these Call options to see where they are now trading.
Ouch! That's what happens when Deere drops eighteen dollars in one week and your caught going the wrong way. Deere Calls and Puts can be good vehicles to use to catch directional moves in volatile markets.

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