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Is Tesla A Good Robot Play?

There's going to be pushback if Musk decides to turn his auto production lines into robot making production lines. That's a new fear. It is also noted that used Teslas are dropping in value quickly. Tesla was down in price $5.62 last week. How is Musk going to make this new venture work? Might his first generation of robots like his cybertrucks quickly become obsolete? If you think about it, maybe existing shareholders are already lightening up on their stock positions knowing that a bumpy ride could soon be on the horizon. Now a new topic. How much do the "three-month-out-Calls-and-Puts" on Tesla cost? That's a fair question and here is the answer. Now we also need to look at how it has traded in the last three months. The stock is down about $60.00 over that period of time. Anything is possible with these three month out option series. Now this, Tesla drops on the Monday February 23th opening. The markets are having a bad day. Look now at what the May 26t...
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The CarMax Story Continues.

Yesterday holding Calls on this stock turned out to be a walk in the part. See yesterday's chart. Today is a different story. A potential lawsuit is brewing. It is claimed that management provided false guidance. I don't think that this case is going to gain much traction.
Managment said.
So the Calls we were looking at yesterday took a hit and here is how it's afternoon chart is trading.
Rather than looking at the 47.50 Calls we were looking at yesterday we should now be looking at the 45 series of Calls. That's the luxury that "in-and-out" short term daytraders have. Now the 45 series of Calls options that offer leverage on one dollars moves and not the 47.50 series. Here are two different series to look at, one series that expires a week Friday away and one series that expires on November 21st. Next weeks Calls would be cutting the timeline to short.
But here now is the problem. The happy, zippy little chart pattern we saw in the last three of four days is now broken. The fresh lawsuit news is a new minor annoyance.
Yet another problem is that I don't like trading options on stocks in this price range. I like better options on $5.00 and $10.00 stocks and options on $100.00 priced stocks and higher. Here is it's closing day reading.
The October 17th Calls are still ten days away. Let's follow this and see how it turns out. Now here is Wednesday's closing.
There was further weakness. To be continued.

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