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Pick Your Spots To Play The Downside.

It's Tuesday morning and Boeing jumped up $17.30 on the previous day. That's a jump in the stocks price of 8%. Here is it's one day chart. There was news. It helped that the markets in general had a good day. Will the stock jump again on the opening? In premarket trading it's slightly up. Can you catch the downside action with Puts on the opening? Should you? Is fighting a strong stock a stupid thing to do? Here we are three minutes into the trading action. The stock is only up a touch yet these two series of Puts are down, one series 37% and the second series 41% and the trading day is just opening. Both are super leveraged trading vehicles. But wait. The bad news is that the markets are surging up. Caterpillar is on fire. Is hanging around with Boeing Puts a smart idea in times like this? Not really. Just get out. Get out. Forget this ever happened. Who cares if these Puts go even higher. A ten minute trade lets you get on with the day. Caterpillar also offered...

One Week Options. Neo Again.

It's Tuesday at noon.
Here are the Nio "six-dollar" series of Calls that expire this Friday
. Now it's five day chart.
Now a more detailed one day chart.
Now Wednesday's closing numbers.
This is not a good position to be stuck in. Can you see how in two days these calls lost half their value? To be continued. Now Thursday on the close.
Can you see how exhausting it is to watch options in this price range. Now this. A jump of sorts on Friday morning. The six series of Calls on Nio closed the day at $.04.
Can you see how they jumped on the opning to a high of $.07.
It gets even crazier than this. Look at how the Puts got squeezed on the opening down to $.05 to then only rebound back up to a high of $.19.
Can you really be buying $.04 options, or $4.00 per contract options on a Friday at the close expecting to make money? If so you have to spend more time watching how these types of options trade.

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