One of these days it will happen. I just hope that it doesn't happen all in one day although for me that would make me a millionaire with all the puts I own. Not many people are aware that you can buy the right to sell AMZN for $300 any time before 1/20/2017 for $50 a share. If AMZN is selling for $30 a share, like it should be, those $300 puts would be worth $270 each (a 540% profit). Well I can dream can't I? I sure I will make a nice profit on them in the next two years.
I bought back the calls that I was short for less than half what I sold them for. Made $3,100.
This will be bad until Bezos points out that sales in the UK are 20 times the volume of last Christmas and people will forget about the penny thing. Bezos is a geniass
It is beginning to look like you are right. AMZN made two higher highs and lows but failed on the third try. The resumption of the downtrend will not be confirmed until three lower lows and lower highs and that may take all day.
A rollercoaster that only goes up and to the right would not get much business. It is those sudden drops that people pay for and, when they pay, I collect.
I don't think there are enough fools in the whole World to take AMZN to $450; how about $350. There could be enough because AMZN has been there before.
Your right about the "weekly options gaming". When you own AMZN you better make your money on weekly options because you sure won't make it on dividends.
The question on this board is "could AMZN go all the way to $1.50". The answer is "probably not, but it could go much lower before it turns back up".
And where is the floor in $$$??? In my book it is $30; I see nothing to support a higher price unless it is the hope that Wal-Mart may want to buy Amazon.
So what is bad about that? The lower it goes the more valuable your puts. I bought 20 of the weekly 312.50 puts this morning for $4.30 and they have more than doubled. If that is bad I hope it gets worse.