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Showing posts from December, 2023

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What Business Do You Have To Be Playing Exxon Options?

The world is politically unstable and Exxon jumped on the opening. Can you jump in and play it for the downside over the next two days? The real money was made by option traders who jumped into Call options yesterday before the close knowing that Trumph was ramping up his rhetoric on invading Greenland. His talking last week about getting involved in the Venezuela oil markets pushed up Exxon and Chevrions stock prices. Here are their five day charts. ... Now consider this. A bet on the Puts to make you money over the next two days puts you in the driver's seat on playing the downside. Would this be a reckless trade to make or one that shows your wisdom in calling Trumph out on his reckless path of destruction? You decide. Now this. What this shows are how "out-of-the-money" Exxon Calls reacted to this morning's opening. What a nice return to it's call holders.. Might things cool of a bit over the next two days? Here are the Puts that expire this Friday. Would yo...
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A Fireside Chat - One Year Options and Thirty Day Options. Which is Better?

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Some say to think small, not big. Trying to play Disney options is thinking big. It is a stock slightly out of favor. If we start with it's a three year chart, we will see it is down by about 50% over that period of time. Now it's one year chart. If the stock can break 110 in early 2024 the sky is the limit. It does have a lot of moving parts so anything could happen. Look at these Calls options one year out. One year in options buys a lot of time.They look reasonable. If the stock ever inched up to the $105.00 price level in the three or four months these options would jump up in price by about 50%. Even more if they had really good news. Yet it's the "what-if" aspect of the equation that castes such a trade in doubt. "What if" stories just don't cut it. There are to many variables in play. Then again, why are we even thinking of long-term Call options after a December's rally? Let's switch gears. If consumers are out spending for X-ma...
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