Looking at the daily chart, there is uptrend momentum in both monthly (short) and semi-annually momentum (intermediate term). I just wonder whether buying put on them is a good idea. If there was sell imbalance then it is highly likely they were sold by retail or small traders otherwise, the stock would have fallen substantially. Note that, there is short selling constraint in US common stocks - so even if bad news coming up, there is not much major shareholders (institutions) can do about it because of the constraint
Not following you here on that VC. Are you talking circuit breakers or are you referring to the old uptick rule? Toyota lost something like 1.2 Billion in market cap in 5 minutes off of a Trump Tweet on the 5th. And they are still going down, although they bounced today.
Yes, exactly, Trump is the market force. So until he criticizes Tobacco industry in the public, my concern is it might be too proactive to buy puts on Tobacco stocks now. Edit: have no clear knowledge of short selling constraint though. Just know that generally big institutions act more aggressively on good news than bad news because of the constraint
I hope you are making a right decision!! By the way, just let you know that the short selling constraint only affects major shareholders when they already know about the information (e.g. earning). However, when there is Unexpected surprises like Trump's critics, major shareholders behave differently like what happened to Toyota Once again I hope you are right
Things are going to go better for Trump if he gets Mexico to cooperate with some of his wishes. The Mexicans seem willing....how about long Mexico? Their stocks are pretty beat up. I think something new will happen in the upcoming negotiations. Mind you, I'm just shooting my face off, not putting my money in this.
The whole world seems to be ready to legalize weed. Big tobacco companies are the one positioned to take advantage of that and get into it in a big way. So, perhaps, we should go long tobacco/weed instead?
https://www.fda.gov/NewsEvents/Newsroom/PressAnnouncements/ucm568923.htm There ya go. Entire sector down 8% Check out PM's chart. "Agency to pursue lowering nicotine in cigarettes to non-addictive levels and create more predictability in tobacco regulation"