Featured

Step Down Charts And Short Term Options. Nio

Here is a classic "step-down-chart" with one minute of daytime trading life left in them before the markets close at 4:00 p.m.. The stock is Nio. ... This printout of "in-the-money" Call option also shows one minute of trading life in them before the market closes. It's Tuesday and these Calls expire this coming Friday. You are purchasing three days of market trading life. To purchase one thousand shares of this stock would cost you $5,750.00. To purchase options that control the price movement of one thousad shares of this stock for three trading sessions would cost you $370.00. ( Ten contracts at $.37 each). These Calls are also currently $250.00 "in-the-money" which means if the stock totally goes flat for the next three days your options will still have that amount of intrinsic value left in them. Now think about this. Many option accounts in the U.S. enjoy free option trading and there are discount brokers in Canada who can save you money. A fl...
Post a Comment

Livewire - Again - Joby Aviation - Unusual Machines

 From the verge of extinction to new life. It all happen with a few sentences offering guidance. The strange thing is that this news came out May 1st.




One dollar to three dollars in a couple of days. Why is this when the last real news about things was back on May 1st? Management is guilty doing a terrible marketing job over the last few years. But wait. It was public news for the last little while that a police department was experimenting with their electric bikes. If nothing else the use of this electric vehicles would be a moral booster to the lucky cops who got to play on them. What happens if more police departments agree to experiment  with these bikes? I followed this situation but stayed away. One dollar stocks are dangerous. Now here is it's three year chart.

While the companies fortunes may be changing I still will be staying away. I missed the boat. That's life. Here is one look at one series of it's next week options.
To be continued. A second stock with a  "it's to late to the party story" is what has just  happened with "Joby Avaition".

It jumped on this news.




Before we get all excited about this jump we have to look at it's one year stock price movement.
This stock has a history of jumping on news releases like this. Basically it's a stock to buy only when it seems to be in a period of being "out-of-fashion". It's "out-of-fashion" right now.

A quick note about "out-of-fashion" options and you be the judge.

Here is a chart of "Unusual Machines Inc."  It's a five dollar stock. Options on $5.00 stocks can be interesting. This stock shows a pattern making surprise leaps. Will it jump again ? It's an obscure offering. Calls that expire in November.
One contract has sold so far today. November is a long time away.   Here is how "Livewire" closed out the week. It closed at $1.01 on Thursday's close!
Now back to the action on Unusual machines a few days later. 
The options have jumped. November is still a long time away but these are nice profits to take.
 To be continued . They hit a high of $2.00 on June 2nd.
A June 2nd update.
Above is a June 3th look at unusual Machines.
More May 3th news. Joby jumps on more good news. They are taking on a new partner.

The aviation theme is suddenly getting a lot of attention.

Comments

Post a Comment

Popular posts from this blog

Waiting For A Drop On The Opening On Bad News - Eli Lilly

Image
Here is the bad news. The company is Eli Lilly. How bad is this news? Well look at it trading in the premarkets. So what do I think? I think the news is a setback of sorts, but not really all that bad. The stock is going to open lower, that's a given. It's like trying to play Boeing after an announcement that an airplane has crashed. So the stock is going to crash and it might have a small rebound and then it's going to slide down some more. A test of sorts will happen sometime in the afternoon. It might stock falling but then where will it go from there? The best case scenario is a recognition that investors got it all wrong and the stock ends up flat on the day. Yet there might be more of a downward dumping of the stock on the close followed by a selloff on tomorrows opening. Should option players be jumping in to play the upside on next week's Calls? That is the question. Here is a look at Boeing on the days after a crash. Day two after the crash was equally as ...
Read more

A Fireside Chat - One Year Options and Thirty Day Options. Which is Better?

Image
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...
Read more

News on Polestar , Lucid (Trading After A Reverse Stock Split) Plus Ford News And Vinfast

Image
Look at the one year chart on Polester. Now it's one month chart. What's going on? It's confusing. It was down $.36 cents on the week. If you want you can spend $.20 or $.25 on Puts and hope that the company goes under in the next five or six months. They recently raised more money by releasing more shares so it's running out of options. You can't run at a loss forever and this news will most likely scare off potential new car buyers. This actually is a low number of outstanding Put options. The consensus seems to be that it is not game over yet. Lucid started trading this week on a "one-for-ten" reverse stock split. Here is its one week chart. It was down $1.39 on the week. It's also going to struggle. Both of these stocks have challenges ahead. On a more positive note here is a chart that looks kind of perky. Ford on the week. The stock was down $.03 cents on the week and it was the 3th highest in share volume trading on the NYSE. It appears...
Read more