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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...

Barron's Front Page Featured Articles : What you Really Need To Know

Let's talk briefly about a couple Barron's featured articles. I like reading Barron's weekly.
Back on November 3th when this article came out the stock was trading at $204.55. Now it is at $194.52. What's that, like a 5% drop in only two weeks? In the article it states that the company isn't expected to make profit this year, marking seven consecutive years of losses. No company in the S&P 500 Index it goes on to say has lost more money since 2019 than Boeing. It then says "Boeing is back". That's a strong statement. A cargo plane crashed just after this report came out. Another airplane overseas also crashed only recently.
Now this. Chatter about old airplanes still in service.
Oh well, Boeing is not really a sure thing but it does have a large backorder for new planes. It can't build them fast enough. Yes they say that the stock is a buy but so far their timing is off. Now lets take a look another cover page Barron's released on July 28th. This time the stock is Disney.
Their feature article/recommendation at that time is that Disney is a buy. Back then it was trading at $121.42. Now it's trading at $105.80. This week it had some bad things happen.
In all fairness Barron's sometimes make good Calls. Case in point is it's recommendation on Nov 25th of last year to buy the stock "Google". On it's cover page at that time it says the stock should go up 50%. That proved to be a good call.
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What does all this have to do with option trading? Not much.Tesla was down $25.17 last week or 5.9%.
I was busy on Friday talking about one of it's Call series rising from $2.81 in the morning trading session to a high at one point of $19.60 on the day. On Thursday the same thing. Pfzer a $25.00 stock was up $.63 on the week or 2.6%.
On Thursday I was busy talking about it's Puts rising interday from a low of $.08 to a high of $.40. My point is knowledge is power and the more you read about individual stocks the better you will be in playing them. Yet having said that, what you must also realize is that option trading and stock trading are two totally different animals.

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