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"End Of The Day" Friday Option Trading On Tesla

Back on April 2nd I did a blog called "Two Hour End Of Week Option Trading on Tesla". In that blog it was noted that Tesla dropped in price starting at 1:30 p.m. and 42 minutes later it was $5.95 lower in price, approaching the "must-get-out" at 3:00 p.m. mandated option deadline. Put option buyers getting in around 2:00 p.m. did well on their investments. (The stock was down $20.67 on the day). Here was it's chart on that day. It was a Thursday with Friday being Good Friday. Now let's fast forward to today's action, it being the following Friday. Tesla options had a tough start to the day. Here an example of what I am talking about. Look at the 347.50 series of Calls at 12:34 p.m. Are you able to see how they are down in price on the day? Now this. A look at how these same options closed out the day. They charged back upwards towards the close. The $140.00 option price we were looking at was actually a 4:00 p.m. readout. This chart shows Tesla tradi...
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$1.00 Stocks Can Go Bankrupt - Polestar

 There is a danger in playing one dollar stocks. That plus they can be boring to watch. Many look interesting but owning them is a gamble. Here is Polestar. 


Here is it's ten year chart.
It's Swedish owned. Like many startup electric vehicle companies it's debt structuring is complicated and their focus on keeping their shareholders happy is low on their priority list of things to do. That's understandable. They also make some of their vehicles in the U.S. so the tariff issue is not going to be an issue. Their vehicles look kind of boring but that's because they are Swedish inspired. Money was waisted a few years ago on "super bowl" advertising. Here is how they are  currently doing. Things look better but not enough to reverse the negative sentiment hanging over it's share price. The path forward to positive earnings is uncertain as all electric vehicle manufacturing companies are facing challenges. In China some analyst say that it's a race to the bottom. 
Is ramping up productions going to be the magical solution? The answers is not really. Economies of scale don't really happen until production numbers are increased  like tenfold. There are no options to play on this stock. This stock truly is a puzzle. Rivian  and Lucid are two other electric vehicle companies sharing this space but both have backers who are pouring money into them in the hope of better things to come. I would buy Polestar at $1.25 but not at $1.00. It needs more good news to make it go.
The short interest in this stock is something like only 2%. Do your own research. If this stock starts to take off existing shareholders who bought in at higher prices might decide to average down. *** One dollar stocks are one dollar for a reason. They are a risk!

**** A July 10th update.

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