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A "Love-Hate" Relationship With Pfizer Options

Pfizer options often disappoint however there are times when they can be your best friend. Let me try and explain. First look at it's five day chart. The 24.50 series of Calls have more than doubled in price in two days. Volatile stocks like this in this price range attract an inordinate amount of attention when it comes to option trading and it only flares up during these brief periods when the stock has these extreme price moves. Look at the open interest in this one series of Calls below. It's quite substantial. Now for a simple calculation. If the stock moves up today to $25.00 these $.37 cent options on the 24.50 series of options will probably move up to the $.55 cent range. Buy and sell let's say a block of 25 contracts and you will be rewarded with a nice gain. Now let we share this one observation. Here is a look at how the D.J.I.A. traded yesterday. It was down. Who wants to be holding short term Call options overnight if the markets are souring? Wouldn't t...
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The Same Old Game Of Buying One Day Boeing Options On A Friday Morning

You decide. Do you like this chart?
The real action in the Calls happened yesterday, on a day the DJIA was up almost 1,000 points. Now a look at these one day Calls options 10 minutes into the trading session.
It's early in the day. It's 9:51 a.m.
....
Is the stock stabilizing? Let's move down one series of Call options.We are still in the first thirty minutes of trading.
Now a 10.10 a.m. look at the 217.50 Calls.
Now the 220 Calls we first started looking at.
What's going to happen? To be continued. The closing numbers and a one day chart.
It didn't disappoint.
The 1:20 p.m. time period was the time to get out. Here is how the DJIA closed the day.
So you might say that this is a stupid game to play with the risk levels amazingly high. Space X was abuzz with news today and Boeing had a scorching hot day yesterday. Today's trading activity was merely a walk in the park. One day option trading can sometimes be your best friend. To read other blogs on Boeing Calls click onto the archive tab on the top left corner of the homepage.

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