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Avis Budget and A Short Squeeze Plus Hertz Getting Dragged Into The Action

Hertz Global is on a terror. . Stocks in the $5.00 range sometimes do that. Yet really it's the Avis Budget short squeeze that is causing this stir. Look at how it jumped just over $105.00 dollars today. How often do you see a chart like this? It's a short squeeze and the stock is trading on high daily volumes. At one point this morning (a Tuesday) there was a "stop trading" on it. Trading options on it defies logic as they are so expensive. Look at this one example. These are the 700 series of Calls and the stock is only trading at 11:17 a.m. at $665.00. In other words they are $35.000 "out-of-the-money". Look at how crazy expensive they are. The stock would have to jump $105.00 or one hundred and five dollars by the end of the week just to break even! Who would be crazy enough to make such a bet? Day traders would be because they are banking on the effects caused by the stocks interday momentum. Let me explain this better by showing you an end of day re...
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A Scenario For Insider Trading.

I think something suspious happened today but I have no proof. It's what happened to Boeing Calls. First it's one day chart, on a day the D.J.I.A closed down 453 points.
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Can you see the stock spike at 1:18 p.m.? What was that all about?
Why on a Friday afternoon? That is when there are Call options expiring in a few hours. That's when anyone privy to this infornation just prior to it being "hot-off-the-press" would be buying in.
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One could say that this was an anticipated event with teams of employees at Boeing negotiating terms and conditions of this sale. They would be in the know. If you think about it the release of "purchasing news" like this should be limited to happening only when the North American market's are closed. In that way news like this would have more time to be disseminated and a greater number of existing shareholders could plan to use this event as an exit point. Thus the jump in price potentionally would not be that great. But what about situations like airplane crashes, gold mines having tailing ponds burst and factory workers going out on strike? I guess market trading is what it is? It doesn't always seem fair. I especially don't like the timing of Friday afternoons for news releases. It opens the door to insider trading. If this Boeing annoucement was released on a Thursday instead of a Friday the Call options mentioned above would have cost double or triple the price than what they cost on Friday afternoon because of the time value part of the equation. Insiders would have then had to put up more capital to be part of the game. That's the way I see it and a company as large as Boeing should know better. Kelly Ortberg their CEO who makes something like twenty million dollars a year was asleep on the switch on this one. I have traded the option market for almost fifty years. Insider trading in option trading is one of my pet peeves.

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