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Costco. It's Short Term Options

 Options on stocks in the $1,000  range often move  50%  or more in only a matter of  minutes on the opening on Wednesday and Thursday's . The trick is to  anticipate correctly which way the markets are going to move. That's a fools game you might say? Yes and no. It may not be a game you ever play but it might be something to consider to put in your bag of tricks when you are on a role. One thousand dollar stocks sometimes move five, ten or fifteen dollars on the day. If you have profits it's best to take them quickly. Costco is a prime example of that. Let's look at this mornings action. First it's five day and one day charts. Tuesday's trading was kind of choppy. Might it drop on the opening tomorrow? Here is a look at where the 1,035 series of Puts closed that expire this Friday. They closed at $8.50. It looks like Costco cycled up about five times yesterday. Given a weak market opening doesn't it stand to reason a three or four or five dollar will be i...
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Earnings on Elli Lilly.

They were great. Did you miss playing them? Was it a bet to rich to make? There was however an opportunity to profit on it's downside shortly thereafter. Let's begin.
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Nice chart, right? Could you have bought the Calls on the closing the day before? Here is how they closed the day before. They closed at $19.31. Anything above $760.00 would be pure profits. The stock went up on the opening to $795.50.
But wait. What goes up must come down. Here are the
790 Puts at 10:01 a.m. That was very close to the top of the days trading range. I was watching them. They were at 10.85. The stock at that time was $794.43. If your a short term trader here how things were different at 12:42 p.m.
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The Puts had a healty move. To be continued.

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