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Drone Stocks On A Really Bad Day

I did the math. The average one day drop on Friday on these five drone stocks was 13.93%. The D.J.I.A index on that same day was down almost 600 points. I don't play options on any of the stocks in this sector of the market. $Unusual Machines the most expensive of the six dropped down the most at 18.36% It now trades at $26.37. It has weekly options on it. Here are it's thirty and five day charts. What a nice run upwards it had last month. ... Now this. A look at how one series of it's Call options closed out the day. I see something I don't like. It's the small open interest numbers. That to me means poor liquidity whenever it comes time to execute a trade. That plus after such a big recent run upwards you would expect to see higher volumes of option trades. I have often talked about how I like trading $Walmart options because the bids and asks are so tight with instant fills. What about the other mentioned drone stocks on this list? Are they more playable? Let...
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Costco And Dangerous Fruit . It Was Like Robbing A Bank

Let's zoom in on a dangerous Friday afternoon option trading situation. Do you want to try and rob a bank? Look at this chart.
It's zig-zagging and it's Costco is down $2.02 a 1:42 p.m. on a Friday afternoon. It's one week options on it that expire at 4.00 p.m. actually expire at 3.00 p.m. for retail traders. Might it jump a couple of dollars or more in the next 78 minutes? That's the bet to rob the bank. I like it. Past blogs have talking about Costco moving $25.00 and $35.00 dollars in one day. If your ahead of the game from trading all week you can afford to explore this situation. Here now at 1:40 p.m. are it's three series of "out-of-the-money series of Calls".
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So what ended up happening? Costco reained the 42.00 it lost and shot up another $4.00. I will now only show you one of these series of Calls and how they were trading at 3:00 p.m. which was the get out deadline. They went from forty-four dollars a contract to four hundred and thirty five dollars a contract!
Here is it's closing one day chart. You can see it jumping up at the end of the day. It's Costco.
What an amazing opportunity. ** a special note. Friday afternoon option trading most usually just holds flat. The action I am describing is somewhat abnormal. * A quick part two for the more advanced readers. A comment on the 3:00 p.m. deadline the trading houses impose to get out by 3:00 p.m.. You don't really have to. If you don't sell out by that time they will eventually just sell you out "at-market". Sometimes they will call first or at least try to call you. You don't really have pick up. Sometimes if I am caught in this situation and want to hang on a little bit longer I will submit just prior to this 3:00 p.m. deadline a sell ticket order slightly above the options current selling price. That way they know I am tracking the action and they might cut me some slack. In this instance Costco continued to rise. This next readout shows you that the 965 Series of Calls did actually reach a high of $501.00 on the day.
Cheers.

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