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Trumph Picks A Friday To Change The Rules.

This is kind of dirty pool. So the stock and options jumped on this news. Did Trumph's cronies get in on this action? It's difficult to tell as they could have got in a few days or a week ago and they could have bought Call options with longer term expiracy dates. Or his stockbroker cronies could have bought the stock to also profit in this gain. Certainly the authors formulating these policy changes were part of this action. In all fairness I can't prove that insiders profited from this Friday event. Yet here is the thing. Releasing this kind of news on a Monday or Tuesday would mitigate this kind of an event from being as impactful as it potentially could be. Option premiums shrink in value the closer you get to their expiracy dates. Lawmakers know this. They should know better than to allow this to happen. No government policy changes that will directly effect the stock market should be allowed on the trading days of the week when the majority of short term Call and P...

Ford Motor Company Options

Ford was on a role. On a role that is until their reputation for poor quality control came back to haunt the oce again. In the recent past it was basking in the new news it was entering into a new tranformational era. A new division, "Ford Energy" is going to start making lithium iron phosphate battery cells. Tesla and G.M are already on a similiar path. The stock surged on this news. This week a different reality suddenly set in. Yet another massive recall. This time 770,000 vehicles were recalled with one fix available by August and a second fix not available until April of 2027. Now look at it's three month chart.
On this news option traders have jumped into the Puts. Look at the open interest in these two series of December options
...
Now it's five day chart.
Money was made on playing the downside in a 24 hour period of time after the recall news came out. This news came out June 30th and the biggest drop happened into the next morning's trading session. You really have to watch Ford's Call and Put options like a hawk if you want to be successful playing them. Now this Ford news on July 2nd.
Nio is another auto stock trading in a much lower price range. Let's now compare it's three month chart to Ford's three month chart shown above.
It once was a rising star.
It's one to do your own research on. Ask Chat Gpt about it. We can expect it's monthly production report to come out today. That sometimes moves the needle on this stock.
The stock is off on this good news. These ones don't buy much time but could suprise.
Let's see what happens. Now this jump shortly later.
.... Now this update. These Calls traded up to $.15 and then things changed. The rebound stopped. Selling pressure returned.
The stock decided to sell off even though production numbers were not bad. The Call options while down seem to be somewhat resistance to this change of direction. Let's see what happens. Nio has had a rough ride for years as have Rivian and Lucid.
Let's see what happens. Now this, the closing market price the following Monday. That makes them now four day options.
They hit a high of $.19 on the day. Can you see the value of one week out options over one or two day out options. To be continued.

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