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Lucid. Options On $6.00 Dollar Stock With Two Days To Go Are Difficult To Trade

What do you think about this chart? It's one of those falling of a cliff charts. It's a Thursday morning and it looks like this stock is kind of in a downdraft. Look at my most recent blog on Rivian. The bad news on Lucid could be a hangover effect caused by Rivan's one day prior bad news story. It was talk about Rivian going back to the markets to raise more money even though they were starting to lose less of it. It was a good-news, bad- news story. A story which would take a few days for the markets to digest. Let's now look at two series of Lucid's Calls which expire tomorrow. We now find ourselves forty one minutes into the market's opening trading action. The 26 series of "out-of-the-money" Calls that expire tomorrow are trading last at $.03 cents. ... Now this. Now look a this small rebound twenty five minutes later. .. Here is where it gets a touch confusing. The $5.50 Calls which were once at $.22 cents are now $.30 and the $6.00 series of...
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Eli Lilly At Ten A.M. On A Thursday Morning

Eli Lilly is the star of the week as it moves up on good news. What is this good news? Well going forward for different reasons they are going to be able to sell more of their weight loss drugs at lower prices but in much higher quantities. Other changes will help to make it more difficult for their competitors to reach the economies of scale necessary to make it all happen. Is now a good time to be looking at it's Puts? It's 10:00 a.m. and the stock is already up $12.00.
The stock is up on good news now for a few days old. Fighting a strong stock in a hope to catch it at a top is one of the most dangerous trades to make. That plus they are super expensive to dabble in.
At 2:10 p.m. the market is way down.....
... the stock doesn't know what to do.
Here now is how the 1,030 Puts closed the day.
They jumped from their 10:00 a.m. price of $11.90. It afforded a comfortable amount of time to get out at a profit. Here is how the Puts swung on the day.
What a day for catching the downside. **** Do you want to see what happened on Friday? These same Puts hit $23.00 dollars on the opening and then the markets changed.
.....
I realize that most readers are not all that interested in short term option playing on options this expensive. Here is how Eli Lilly ended up closing on the week.

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