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Ford Motor Company "Calls".

The one week chart tells the entire story. A thirty day chart adds more detail. Moves this large seldom happen over such compressed periods of time. Look at how these two series of Call options traded on Friday. Back on May 6th I did a blog called "Ford Motor Company Calls On The Week" and in that blog I showed this chart. Back then it was still the same story. Also of note is the fact that Ford is not doing particularly well in their quest to churn out more vehicles. I think this stock will now take a breather. Anyone playing thirty day options on Ford during this time period will be up like three or four times on their initial investment. Naysayers take note. Opportunities do happen. Traders are even finding value in 2028 Ford option Calls! Now Hertz. Might car rentals pick up in the next month as summer months approaches? Yes gas prices are up however summer is when many people take vacations and want to hit the road. Flying is now getting expensive. Renting a car is...
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The Power Of "One-Month-Out-Options" For Short Term Gains.

It helps when the markets rally on a Monday but that's a secondary issue.
This blog is about stocks in the seventy dollar price range with options on them staggered in thirty day intervals. Is trading in options which trade in only in thirty day intervals better than options on stocks in the same price range that expire every Friday? My experience is that options on stocks that trade every thirty days tend to attract less interest which in turn means that they are less susceptible to "market-maker" manipulations. Yet this isn't really a point I want to debate. Now this, a look at the seventy series of Calls on "Carmax" at the end of the trading session today.
Bid 5:70 ask 5:90. Only two options traded on the day. Let's now look at it's five day chart.
So it jumped a touch but nothing to crazy. Now this, I did a blog last Friday, my previous blog where I showed what the same options were trading at on that day. Here is the printout I want to show.
A 10:39 a.m. readout on Friday morning showing only three option contracts traded with a last trading price traded of $4.07. Is there a lesson here to be gained? Yes, thinly traded "one-month-out" options can be successfully traded. What appreciations are there to be gained? Well there is less market maker manipulations. When you put in a closing sell ticket for only one, two or three contract and if the trend of the stock is upwards you will get a fill without going through the game of watching option makers wiggle the "bid-and-ask" in their favour. One month out options, played correctly are also less stressful to hold because the premiums built into an options price for it's time value will not disappear as quickly as the premiums built into one week out options. That's just the way I see it.

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