The Dow Up 457 And the Nasdaq Up 460.70

Look at these gains today. Today is a Thursday. Meta is up $18.04, AMD is up $17.49, NVDA is up 110.55, AMZN is up $6.00, ELI lILLY is up 23.75, SUPER MICRO is up $241.52, NETFLIX is up $15.12, COSTCO is up $11.38 AND MODERNA is up $11.85. Gains of $110.55 and $241.52 in one day on two stocks! What's that all about? Well warning bells should be going off. We must be at a short term top. Three stocks stand out to me that are having changing stories. 1) Moderna. 2) Rivian. 3) Lucid In these crazy markets a lot of these stories get buried. Option players in these markets are getting whipsawed and it is getting to be to difficult a market to play in. Once this final round of earning reports are over things should get back to normal.

A Surprise Caterpillar Jump on a Friday That Option Players Missed.

The action on Caterpillar on October 21st, 2022 defies logic. Here is it's five day chart showing Friday's action. Read On.
In the past I have said that it's stupid to be buying Call or Puts just before a Thursday's closing that expire the next day in anticipation of a rally or a sell off that day. The future market was down big time between 8:00a.m. and 9:00a.m. and then the markets opened flat and then took off. Look at how these for series on Caterpillar Calls traded on the day.
$.16 to $510.00
$.05 to $250.00
$.01 to a high of $.67. In hindsite, the tip off to this possibly happening was in the premarkets turning from negative to positive in a short period of time before the opening bell. This kind of action makes it difficult refocus. Now what I didn't show you was the 180 Calls. With the stock trading around 180 on the opening this is the option series you would expect most casual options traders to be playing. Look now at the suprisely low volume of trading on this series of Calls.
Only 146 contracts in this series traded on the day. Why didn't more players jump in?


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