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Ford Calls and a Big Surprise.

Look at this Ford chart on July 1st. Now todays Call options. Every quarter these types of reports come out. This one was good. Watch for it Next July 1st. A $2.00 option went up to close at $37.00. In my introductory remarks to this blogging channel a few years ago I said many old farts driving Mustang convertables paid for them from money made on playing Ford options. This bounce today in the Call prices based on this good news report of rising sales was one of those events. Now this, the strenght continued into the following day which is Wednesday July 2nd. This is a short week for option trading with tomorrow being the last day. Action like this is extremely rare.
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A Follow Up On The Costco Blog on Friday.

It's late Monday morning and the markets are flat to slightly down.
In our last blog on Friday we talked about trading Costco options and showed how it surged in price on Thursday and Friday. This morning there was a pause and these "at-money" one week out Puts had a nice short term bounce until Costco decided to go back up again. Here is it's morning dip.
Now here is how the Puts that expire this Friday reacted.
What's missing is the price these Puts closed at on Friday before the weekend. They closed at $10.51. Then in this mornings dip they hit a high of $17.50. Not a bad return for a short term option trade. Monday mornings are sometimes devoid of market chatter and times when stocks stall out or take a pause. Playing options on stocks in the $1,000 range throws different tricks at you.**** A look at it's one day trading activity.
Once the stock started charging up there was no looking back. Many daytraders do not like holding options overnight with the exception of holding options over a weekend. For interest only, look at how the 1025.00 Puts closed the day.

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