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A Look At "Ford" Calls On A Tuesday Morning Opening. FORD BLOGS CAN BE A GOOD READ

Here is how it seems to be set up to go. How it all turns out might surprise you. We are expecting a slightly weak opening on the price on Ford's stock price this morning and on the D.J.I.A. index. Yes there is fresh news on the Ford Motor Company before the opening. They have announced yet another recall. This time it's for "wiper blade" issues on over 400,000 vehicles. That number is not a typing error. At least it's not a recall for engine or transmission problems. In an odd sort of way this news will help to get past customers back into their showrooms for like thirty minutes or so. The recall should be a quick, one time fix. It's still however going to cost them massive headaches to organize and millions of dollars. What an inconvience for a large number of drivers. Look at these two premarket readouts, the second one at 9:00 a.m. Can you see Ford's stock price trading down in the premarkets?. The question is how much will the 11.5 series of Calls d...

A Follow Up to A March 29th Blog About Options in the $5.00 and $10.00 Range.

 First, look at how these three stocks are popping this morning when the overall markets are trading down. Options on stocks in the $5.00 and $10.00 range can surprise.

Here is todays action, a Monday morning in the first hour of trading.



All three of these companies operating in the same space are jumping in unison. Now look at this printout of my May 28th blog.


Well back then I was talking about the power of long tern options and I used the example of a "Unusual Machine" Nov 21st Call with a five dollar striking price. Now here we are only a few days later and look at where this series of Call options are now trading.

Note the open interest in these Calls have decreased as earlier traders have taken their profits and run. Once again,  longer term options on $5.00 and $10.00 stocks can surprise.  All three of these companies don't really have the earnings to support these prices  so options on them are dangerous. Why not do you homework and make lists of stocks in this price range which have options on them? 

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