Blogging Options: CBOE Morning Update

Volatility as an asset class:
 
Brocade (BRCD) is up 14c to $5.77 in the premarket following Q3 results, Q4 outlook. Overall option implied volatility of 56 is above its 26-week average of 51.
 
Marvell Technology (MRVL) is down $1.17 to $11.11 in the premarket after the company’s Q2 results and guidance missed expectations. Overall option implied volatility of 47 is above its 26-week average of 39.
 
Aeropostale (ARO) is down 87c to $12.79 in the premarket on the company seeing Q3 EPS 25c-30c, consensus 38c. Overall option implied volatility of 59 is above its 26-week average of 45.
 

Calls with increasing volume at CBOE.

SPY 8/18/2012 142 50K contracts

AAPL 8/18/2012 635 19K
 
FB 8/18/2012 20 16K 

 
DIA 9/22/2012 133 14K
 
F 9/22/2012 10 13K
 
AAPL 8/18/2012 640 12K
 
CSCO 8/18/2012 18 11K

CBOE Volatility Index-VIX closed at 14.63, 10-day moving average is 15.36, 50-day moving average is 18.15.

 

U.S. stocks are mixed in the premarket following Apple (AAPL) reaching a record close of $636.34. Germany’s Merkel says she supports Draghi, thin vacation style trading has Europe firm on very little volume.

Options Expiration today.