Featured

Ford Kind Of Threw A Curve Ball With The Release Of Their Quarterly Earning's Report

First here is how the stock traded on the week. It's not very often you see a chart that looks like this after a company comes out with a quarterly earning's report. One would expect that if a stock goes up on an earning's report it will usually stay up. How good was it's earning's report? Yet sales were down 8%. All the while something else had happened. A few days prior Ford made this remark. Details of what this all meant were somewhat vague. Is Ford going to start transitioning itself out of the automotive industry? During World War Two Ford started building airplanes called the B-24 Liberator after first building the "River Run Bomber Plant". When Ford starts to talk about building something new the entire world listens. Isn't it true that the stock Caterpillar has also hinted of following a new path diversification? Here is what I am talking about. This "Ford Energy" notion came out only days before their earning release news. Was ...

Walmart Starting With 2:25 p.m. On A Monday. It's Christmas Week.

First the one day chart.
The markets on the day are down.
Now it's Puts at 2:25 p.m.
Now it's closing price.
Now Tuesday morning.
In some ways we are wasting our time watching what seems to sideways motion. Is this what successful option trading is all about? It's not like watching Tesla or Caterpillar coming out with earning reports, or watching Boeing jump up in price over the last few weeks. There really isn't any reason to be in this position, other than the indexes are down for the second day in a row. With the clock ticking away at you is this a good time to be risking your capital? Not really. It is a struggle.
Now let's look at Walmart at the end of the day on Tuesday. The stock went down in value on the day as did the Puts. Yes the time value is going down which is partially to blame and the indexes also had a drop. These are quiet markets during this holiday period with fewer news report expected to be coming out.
Let's see what happens. Low priced "in-the-money" options with two day to go until expiring in this price range can suprise. At $.62 cents ($62.00) per contract these Puts could be a bargain. Here they are in aftermarket trading. Aftermarket trading this far away from the opening bell doesn't mean to much.
To be continued. Now Wednesday morning.
Now this. The market tanked near the end of the day.
$.65 to $.75 Not much of a gain. Christmas week is not the week for playing options. These options still have one days trading life in them. Trying to outsmart this stock at this juncture is not the way to go. Now one more thing.
With the low trading volumes all week hanging around for another day with no exit plan in case the stock goes the wrong way is not the space to be in. The end.

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?

News on Polestar , Lucid (Trading After A Reverse Stock Split) Plus Ford News And Vinfast