Featured

Drone Stocks Are On A Terror

Yet things may not end all that well. It's the insiders who are having the rides of their life. Let me briefly explain. Here are three of the most popular drone stocks I follow, in no particular order. Note this about Unusual Machines, Donald Trumph Junior works for them. All have doubled in price in the last six months and none of them are really making any money. That's the problem but it gets even scarier when we look at the second teir of players in this space. Look at these three companies.. Short term option traders have made a killing on this ones - so far. It always has news... they all do to help sell the hype. Do any of these companies make any money? Draganfly has like 13,967,978 shares outstanding and warrants. Now look at this. (Dragonfly Energy Holding is a different company than Dragon Inc.). All I am trying to say companies all over the world make drones. There is really nothing special about any of these companies. Investing in any of these companies is to...
Post a Comment

Looking Beyond A Day The Market Drops 483 Points In One Day. I Pick Boeing

Forget everything you know about Boeing. (It's most recent crash now points to a pilot error). The DJIA crashed on a Tuesday. It was down 432 points. Boeing was off fifty-one cents on the day. That's only a small amount. This companies chart pattern looks like it wants to go up.
It spiked upwards Monday morning and rewarded those option traders brave enough to hold it over the weekend. It closed higher on that day. Then on Tuesday, once again it lost fifty-one
cents. It is my opinion that Tuesdays going into Wednesdays are interesting times to hold short term Call options overnight and Thursdays going into Fridays are the worst days to do this. It's also a market where traders are accustom to buying on the dips. There are no gaurantees that this stock will go up on the opening however it is a strong stock as of late and the markets might reverse upwards on the opening. Let's wait to see if I am right. An 8:20 a.m. premarket look the following morning.
The share price increase we now see is enough to move the Call options we are watching up about 25%. Yes you could submit a sell ticket into the "premarkets" where you pick the price you would be willing to sell it at. Why is it that you would be picking the price? Well there are no posted bids and asks in premarket trading. Now here are other stocks I commonly watch.Tesla is the obvious stock to benefit from this sell off situation.
Now the opening markets.
At 9:31:08 a.m. the stock had the pop I expected. This is the case of buying on the rebounds. The Tesla and Eli Lilly options where both somewhat lacklustre. Higher priced stocks need greater moves to move the needles on their option pricings.
Now Joby. Lower prices stocks have options on them which can sometimes surprise.
It's now a Wednesday. It's mid week. Anything can now happen. Just take you money and run. *** Now this. By 10:10 a.m. most of this Boeing gain is gone!
At 11.44 a.m. it is really-really all gone!
Here is how Boeing closed the day.
** Tesla was also a star of the day.

Comments

Post a Comment

Popular posts from this blog

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

Another Blog On "Vinfast"

Image
There is so much to read about this companies history online. Do your own homework. Their success is not dependent on what ends up happening with their sales in North America. They are nimble. There are plenty of auto factories all over the world now for sale they can acquire. They have dabbled in Australia. Having access to money to keep going doesn't seem to be their problem. Rivian also seems to enjoy this advantage. Vinfast is currently building a new plant in India which could employ thousands of people. That's an emerging new market. New relationships are being built and new investors will be coming onboard. Are option players looking at this stock? Not really if we look at these "one-month-out" Calls. What about Calls further out? What about next January? Here is a look at the three and four series of Calls. Nobody seems willing to bet Vinfast Calls. Now this. Here are two snippets taken from a blog I wrote about this stock back in early December of 2024. ...
Read more

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