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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. Elli Lilly showing strenght in the second half of the day could be a precursor to something good happening. 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 $...
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Deere And Something Crazy

The stock Deere is extremely volatile and options on it with one day to go are, for lack of better words, explosive. Explosive beyond belief. Small retail investors are advised to stay away. They are very thinly traded. Just stay away! Now here is how it traded this morning, Friday July 28th.
So at this point in time just before 1:00 p.m. it is down $.17 cents on the day. If you owed the stock and were just checking it to see it's current value it would make you just yawn. When I look at it it makes me want to scream in disbelief! At 11:57 p.m. here is what the $375.00 Puts which are $.17 cents "out-of-the-money" Puts are trading at. Do they offer good value? Maybe. Yet that's not my point. Focus instead at how low they these contracts traded at prior in the day. Can you see that they traded down to $.08 cents when the stock was trading well over 380! Image catching this action and predicting the downside around 10:45 a.m. Deere can move five dollars in one day and that is what it decided to do this time.
Now have a look at the current bid and ask. Bid $.58 or fifty eight dollars per contract and ask $1.14 or one hundred and fourteen dollars per contract. Have you ever witnessed a spread that wide apart? Crazy. Now this. Deere has 275,570,300 shares outstanding. Why are there not thousands of shareholders watching these options looking to catch these magnified option price swings? Why has the propostion of trading contracts like this become so foreign? Am I wasting my energies following stuff like this? I don't think so. Now this, a different visual look at how these Puts are trading at 1:51 p.m. only seven minutes later with the stock now down another eleven cents. Can you see how sensitive these price movements are. It's amazing.
Now this. It's 2:06 p.m.,some ten minutes later. There was one more contract sold. The price it sold for this time was $1.10.
When fund managements companies boast of 15% annual return rates I have to ask myself this question. Why can't they invest monies in programed option trading to catch short term price movements like this as short as this. It seems kind of silly to be doing anything else but this. Now more of the same action eight minutes later.
What ended up happening to these Puts at 3:00 p.m. in the afternoon? That's the deadline when retail traders have to sell out. Here is it's chart.
Now this.
At around 3:00 p.m. these Puts hit a high of $4.58 . Not a shabby return for those traders bold enough to consider the "out-of-money" Puts on a Friday morning.

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