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"Nio"

Four years I was writing blogs about "Nio" when it was trading at $22.00 per share and building less cars than it does now. Now I ask this? Are these $5.00 Call options on Nio which expire in three days a trap? $5.00 options with three days to go are not for the faint of heart. Other option traders seem to be following this action. I like this chart and three days in option trading is a long time. .. Let's see what happens on the opening.
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Tesla. A Good Read - A 10:00 A.M. Short Term Pop On A Thursday

Would you be willing to purchase an "out-of-the-money" Call option on Tesla with one day to go? How far out you might ask? Well $5.00 out is the answer.
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Most short term option player's would not find value with doing this trade simply because it has the appearance of being a flip of the coin type situation. Yet most short term traders also know how explosive this stock can be. Why not wait until 10:00 a.m. on Friday morning with the thoughts in mind about catching slightly "out-of-the-money" Tesla options looking for a reversal? That kind of seems at times to be a sweet spot in the markets. The temptation associated with this current situation is that the stock could creep up a couple of dollars in the next few hours of trading if the indexes start to go up. That action could be tradeable. Yet then again option trading on a Thursday is generally not a sweet spot in the markets to be in. Let's see what happens. The pricings on these Calls does look attractive. Now this action twenty six minutes later.
That's what I was hoping for. Notice the new high of $6.00 which happened during this time period?
Tesla is known to suprise. Tesla ended up closing down on the day! The 10 a.m. pop only lasted for 30 minutes.

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