Blogging Options: CBOE Afternoon Update

Facebook Strike prices Tuesday will be as low as 16 and as high as 49. Strikes will be as follows:

16, 19, 22, 25, 28, 31, 34, 37, 40, 43, 46 and 49.

FB options will trade in nickel incriments.

 

Facebook’s peers have a wide variance of option implied volatility:
 
Groupon (GRPN) overall option implied volatility of 51 is below its 26-week average of 57.
 
LinkedIn (LNKD) overall option implied volatility of 62 is near its 26-week average of 63.
 
Yelp (YELP) overall option implied volatility of 52 is near its 9-week average of 50.
 
Zynga (ZNGA) overall option implied volatility of 74 is above its 21-week average 68.
 
Pandora (P) overall option implied volatility of 50 is below its 26-week average of 64.

 

The VIX closed today up 0.22 to 21.76. Have a nice long-weekend.