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A Jumpy Week For Caterpillar - A Week With Earning Reports

Here is Thursday's trading on the day on Caterpillar. Here is how the $417.50 calls that expire tomorrow closed the day. Something happened this week. Caterpillar had a quarterly earning report come out on Tuesday. It's stock trading action survived this news unscathed. Here is it's five day chart as of the end of Thursday. Maybe the 420.00 or the 422.50 series Calls are better to look at? Here they are. But wait. Deere got clobbered today on the release of a quarterly earning's report. Why didn't Caterpillar sell off in price in sympathy? It shoud have. Deere sold off $34.70. For this reason alone I would be more inclined to purshase the Puts. Here is the series I would consider. To be continued.
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Boeing Had An Unexpected Jump Thursday Morning

Would this be a good time to purchase it's Call options that expire tomorrow? It's the dreaded "one-day-option" topic once again. It's 3:19 p.m. on a Thursday afternoon. Here are two different series to be looking at. One series is "in-the-money" and one series "out-of-the-money". Why am I looking at these two series of Call options? Well, on the two different Boeing charts below you will see the strenght of a Thursday morning price jump. If it jumped once it might do it again? When you see the chart below you will see how explosive this jump was .
Here is how the markets are doing at 3:21 p.m. on Thursday. I don't mind the markets closing on a low note. Why? One reason is that on Monday the DJIA dropped 514 points on the day which everyone shrugged off as being almost normal.
Now Boeing's five day chart which shows on the far right of the chart (the last day of it's five days of trading) the Thursday morning pop I am talking about.
The next chart show exactly the one day chart of Boeing's trading action on Thursday minus about the last 10 minutes of actual trading time. It shows even better the morning jump I keep on referencing.
One of the reasons I like this situation is that with a 300 point selloff on the day the markets could decide to rebound on the following opening. The strenght of a stronger opening would boost this stock and many others upwards. Let's see what happens. Now Friday's action.
It jumped up shortly after the opening and the two series of Calls I was tracting did very well.
The Calls that were "in-the-money" went from a close of $260.00 to $445.00 after hitting a high of $565.00 and the "out-of-the-money" Calls went from $110.00 to $200.09 after hitting a high of $300.20. One final note. Boeing dropped five dollars a share last Friday morning. Boeing option trading can suprise.

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