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Lucid. Options On $6.00 Dollar Stock With Two Days To Go Are Difficult To Trade

What do you think about this chart? It's one of those falling of a cliff charts. It's a Thursday morning and it looks like this stock is kind of in a downdraft. Look at my most recent blog on Rivian. The bad news on Lucid could be a hangover effect caused by Rivan's one day prior bad news story. It was talk about Rivian going back to the markets to raise more money even though they were starting to lose less of it. It was a good-news, bad- news story. A story which would take a few days for the markets to digest. Let's now look at two series of Lucid's Calls which expire tomorrow. We now find ourselves forty one minutes into the market's opening trading action. The 26 series of "out-of-the-money" Calls that expire tomorrow are trading last at $.03 cents. ... Now this. Now look a this small rebound twenty five minutes later. .. Here is where it gets a touch confusing. The $5.50 Calls which were once at $.22 cents are now $.30 and the $6.00 series of...
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A Look at Four Different Call Options On Big Name Stocks Going Into A Mid Week Trading Session- Part One

I don't like overnight Call options on one week options going into a Wednesday mornings. The time value built into option premiums is to much. Let's follow these four one-day situations. 1)
2)
3)
......
4)
Let's check in tomorrow to see what option trading patterns we observe. 1)
2)
3)
4)
So up 18%, 6%, 9% and down 57%. So my point is that there are no real gains to be had from holding overnight positions on Tuesday, on short term "one-week" Call options. Yes the D.J.I.A was down on the day and yes the sample size was very small. It's just that my feeling is that Tuesday night overnight Call positions just don't excite. Option trading is the study of enterance and exit points. Now here are the readings on Thursday close. 1)
2)
3)
4)
So down 54%, up 66%, up 89% and down 45%. Yes the D.J.I.A was down a small amount today. So what does this tell us? The action of holding short term Call options purchased on a Wednesday going into Thursday is greater than the action of purchasing Calls on Tuesday going into a Wednesday. We will check back in after the close on Friday for the final readings and a conclusion.

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