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

Hertz Global is on a terror.
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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 interday momentum. Let me explain this better by showing you an end of day reading on this series of Calls.
The $75.00 Call option we first looked at back at 11:17 a.m. is now $108.00 with the stock closing up $105.00 dollars on the day. Let's not forget that this incredible action has being happening now for like ten straight days on end. Day traders are simply throwing back part of their daily winnings into the same action over and over again. At some point in time when the tables start to turn the monies lost on one final trade would be inconsequential in size to the amounts of money made on each of the days the stock stepped upwards. Situations like this in the market are rare.

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