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Insane One Day Action on Caterpillar And Deere In One Day

First Caterpillar. I can't make this kind if stuff up. .......... Only 136 contracts in this one seies traded today.That's nothing. I have being commenting on these low numbers in recent periods of time. We hear the terminology "buy-on-the-dips". I didn't see that happening today. Deere the same thing however it's Call action was less inspiring.. Very few Deere Calls traded. Here is how the DJIA traded on the day. Now their thirty day charts. First Caterpillar. Now Deere. Look at Caterpillars one day chart yesterday. One series of options traded down to $4.00 to only then rebound to $23.00. That was the play of the week. Once again, Wednesdays like I have said fifty times before are the best days on the week to look for reverals on "one-week-to-expiring options". At this point in time I would skip playing the Thursday last "two-days-to-expiring options" on these two stocks and check back into the action on Friday to only look at Te...
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Caterpillar On A Tuesday Morning After a Week The Stock Jumped $27.88 Dollars. Part Two

Here is it's five day chart going into the opening market. Today is Tuesday.
My "Part 1" blog caught yesterday's modest decline. Today Caterpillar has to deal with this new news which happened "out-of-the-blue". You don't see this very often.
Now this, a look at the 435 Puts on Monday morning at 10:02 a.m.. That was yesterday.
Will other investors start to bail on Caterpillar? Here is a look at it's premarket trading activities.
If you are an option trader sitting on the 435 Puts would you be closing out your position on this news? Gifts like this don't happen everyday. I hate to say this but I would. When you are playing one week options and have a win for reasonings totally unexpected just take your money and run. It might prove to be the wrong decision to make, however in option trading what happened yesterday is all but forgotten. Don't worry about money being left on the table. Now a look at these Puts at 2:30 p.m..
Take note of the "open interest". Tomorrow we will be able see how many holders of these Puts sold out before the end of the day. I think most will, as short term option players don't like to be in overnight positions. That plus Caterpillar started to rebound at the end of the trading session. This two day Put ride could now be over.
Check back tomorrow and we will see what the open interest number is going into Wdenesday's action. I think most option traders would have bailed. *** Here is a look at the 435 Puts On Wednesday at 12:45p.m. I was talking about.
814 is now the open interest number including four contracts trading today which is down from an open interest number of 1,227 yesterday. That means about 600 contracts were closed out. Fewer traders in the "one-week-trading-space" want to be holding this weeks options on Wednesdays and Thursdays. That is a comment I often make.

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