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A Look At "Ford" Calls On A Tuesday Morning Opening. FORD BLOGS CAN BE A GOOD READ

Here is how it seems to be set up to go. How it all turns out might surprise you. We are expecting a slightly weak opening on the price on Ford's stock price this morning and on the D.J.I.A. index. Yes there is fresh news on the Ford Motor Company before the opening. They have announced yet another recall. This time it's for "wiper blade" issues on over 400,000 vehicles. That number is not a typing error. At least it's not a recall for engine or transmission problems. In an odd sort of way this news will help to get past customers back into their showrooms for like thirty minutes or so. The recall should be a quick, one time fix. It's still however going to cost them massive headaches to organize and millions of dollars. What an inconvience for a large number of drivers. Look at these two premarket readouts, the second one at 9:00 a.m. Can you see Ford's stock price trading down in the premarkets?. The question is how much will the 11.5 series of Calls d...

Suicide Options

Do you want to split hairs, meaning do you want to chase the most miniscule of moves in a stock's price? With the way options are structured on Pfizer you can. Look at this five day chart on Pfizer and look at this particular Call option series.
These are the 24 series of Calls that expire this Friday. Why do I think these Calls offer good value? Two reasons, the first being that this stock trades on high volumes. As as of 3:50 p.m. today the stock has traded in excess of 39.6 million shares. I take comfort in this number. With this much volume I would think that the option makers would have less power and less desire to control any short term directional moves that this stock has. The second reason I like these options is that they trade in one dollar increments. I like that. In my blogs about Walmart I mention the same thing. In this case we now have a "Bid" of .22 and an "Ask" .25 with a high on the day of .42. Purchase these options in quanties of 20, 30, 40 or whatever you want. The tiniest of an updraft will send these options soaring. Well not crazy soaring but on a percentage basis noticably large move. Let's see what happens. It is expected that tomorrow will see news of an interest rate drop. That should help the markets. Here is how they closed the day which is twenty five minutes after we first clued into this situation.
Ten contracts at .23 would be $230.00 and a jump to .43 would make them worth $430.00. Trades like this up and down could theorically be done multiple times in a one week period of time. I note that 730 contracts traded in the last 25 minutes of today's trading which means that about 29 contracts traded per minute.That's good liquity.
Let's check in tomorrow to see what has transpired. Once again these are suicide options because it is all to easy to get caught going the wrong way. Pfizer was down seven cents on the day. Now here we are six minutes into Wednesdays trading action.
It's up. Here is the move you need to make a profit and move on to something else. Middle of the week timing works work best for these kind of trades. Now it's 9:47 a.m. reading.
The results of this trade are about as good as it gets.
Here is how these Calls closed the day.

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