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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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Boeing A Guessing Game. Boeing Tomorrow . How Good Are Your Instincts?

When you see this chart you will understand what this game is. Guess which way Boeing is going to trade tomorrow. It's not as simple as you might think.
Here are it's Calls on the closing today which will be expiring tomorrow.
Notice the open position number, 226 Calls. It's really nothing. The chart looks ugly. Now look the Puts.
The open interest number is much greater. What's that all about. Is it the anticipation of a weak opening? Now this, one possible reason why it dropped today. There was news of the new 777X jet falling behind schedule. Does that influence your decision? It's a tough call. Might one strategy be to buy in a minute or two after the opening and trade in the opposite direction of which way the stock is moving? That's what some option players would be instinctively doing. Some Telsa Call option players would have done well on the day today using that strategy. It's going to be super interesting watching the way this event unfolds tomorrow. To me it's a battle not worth fighting. The cost of entry and the risk is to high. Let's see what happens. Friday morning.
So a ten dollar drop in two days on a stock in the $225.00 per share range. Now with Friday options the deadline to get out is 3:00 p.m. on the last day of expiring options. Here is a look at these Puts minutes are doing slightly after this 3:00 p.m. "selling-out deadline".
Bad news reports shouldn't be triivalized but are difficult to quantify. Option traders, take note of this experience. I am not sure where the "instinct" part of the equasion fits in. A report like this on a Monday or Tuesday might not have the same effect as it had on a Thursday. Instincts tell me that.

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