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Why Tuesdays Around 11:30 A.M . Are Particularly Unattractive Times To Be Looking At Options That Expire On Friday

So here are nine examples of what the heading is alluding too. Bad times for the most part to be entering into option positions. 1) Tesla. 2) 3) 4) 5) 6) 7) 9) 8) Now the closing reading on these Calls at the end of the trading session. $6.20 is down from $8.03 on Tesla and on First Solar the Calls are $3.10 down from $3.35. Here is what the markets did on the day. So let's continue on. Now Elli Lilly and Caterpillar. Elli Lilly went from $13.40 to $15.65 and Caterpillar went from $3.95 to bid $3.95 and $4.35. Now Biogen. It went from $2.50. down to $1.45. Boeing Calls went from $2.88 to $3.70. In Biogen there were no further option trades on the day with the bid and ask going up towards the closing bell. Walmart couldn't do anything as the effect of this tariff situation is all new. When is food going to cost more? It's Calls went from $.88 dollars to $.75 dollars. Now the last one, Home Depot. $3.80 went to $4.30 So really the markets sold of or went side...

Ford and The Call and Put Option Game On It Has Slightly Changed.

Look at this chart. Do you recognize something a little bit different in the striking prices? They have changed and here is proof.
Forget playing the 12, the 12.50, the 13 and the 13.50. Calls or Puts. Now they are all 11.85, 12.35, 12.85, 13.35 Calls or Puts. What is now different is that the striking prices have now shifted downwards by .15 cents or upwards by .35 cents depending on how you look at it. Does it make any difference to option players? Has it become slightly more challenging to do the math? Not really as everything functions just the same. Just learn to get use to it. That said, here is how the stock Ford is now trading in February. .
Now look at these same Call options on the morning of Tuesday February 22nd two trading days later.
The market tanked on Monday and the executives at Ford are making comments that are casting their operating realities in a bad light. Institutional investors have limited patience for these kinds of outbursts.
Then this.
Ford's public relations department needs to coach their management to button their lips. Here now is a printout of the same Call options we showed above two days later. They have tanked.
The bottom line is the playing Call and Put options on Ford can be a wild game when there are so many moving parts in play. Yet then again these price gyrations make for interesting trading opportunities. Don't be afraid to play them.* The longer term Call and Put options like the Ford 12 and 13 and 14 Calls remain "as is". It's only so far, the near term Call and Puts options that have the new striking prices.

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