Featured

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...

The Caterpillar Party We Talked About In My Last Blog Ended On Monday Morning.

So here is the first trade on a Caterpillar Put this morning.
Someone jumped in as Caterpillar was shooting up. Then this happened.
Caterpillar jumped some more and a block of ten Puts sold and then another one. Then this happened.
The poor fellow who got in at $6.00 paid to much. Then this happened.
Big volume surged in and these options went up. It all happened in 35 minutes. That's what Monday morning trading can sometimes be about. This blog ties into the story of my last blog. The danger now at this point is that Caterpillar could tick back up. Look at it's five day chart.
I wonder if the above traders are taking their profits. Here for interest sake is how these Caterpillar Puts closed the day.
Now at Tuesday look.
On Wednesday the party ended for the Put holders. It's hard to fight rising stocks.
The Puts closed at $350.00
Look at the jump it had in the first three hours of trading.
As sometimes mention, reversals happen in the middle of the week.

Comments

Popular posts from this blog

Waiting For A Drop On The Opening On Bad News - Eli Lilly

A Fireside Chat - One Year Options and Thirty Day Options. Which is Better?

Another Blog On "Vinfast"