Blogging Options: CBOE Morning Update 4.19.13

Volatility as an asset class

VIX methodology for iShares Silver Trust (VXSLV) closed at 32.75; above its 50-day moving average of 26.23.

CBOE VIX methodology for Market Vectors Gold Miners Fund (VXGDX) closed at 50.02, above its 50-day moving average of 30.85.

Google (GOOG) is up $9.95 to $775.85 in the premarket after the internet company reported stable Q1 results as ads that sell on websites and mobile apps fell.  Overall option implied volatility of 27 is above its 26-week average of 25.

VIX methodology for Google (VXGOG) closed at 26.82, above its 50-day moving average of 25.47. www.cboe.com/VXGOG

IBM (IBM) getting clobbered, off $9.15 to $198 in the premarket after Q1 sales fell short of expectations and will reduce its work force. Overall option implied volatility of 23 is above its 26-week average of 19.

VIX methodology for IBM (VXIBM) closed at 25.34; above 10-day MA of 22.50 www.cboe.com/VXIBM

Chipotle Mexican Grill (CMG) is recently up $15.25 to $343.61 in the premarket on Q1 profit increase of 22%. Overall option implied volatility of 51 is above its 26-week average of 34.

Options expected to be active on open; IBM ISRG MSFT DELL GE HON MCD BAC CMG GOOG

CBOE S&P 500 BuyWrite Index (BXM) closed at $941.76; below its 10-day moving average of 947.49 and above its 50-day moving average of 935.89. www.cboe.com/BXM

CBOE Volatility Index (VIX) closed at 17.56, above its 10-day moving average of 14.19, and its 50-day moving average of 13.66. www.cboe.com/VIX.

SPDR S&P 500 ETF Trust (SPY) is recently up 72c to $154.85 following yesterday’s sell-off, as corporate earnings are providing a positive catalyst to the market today.

Calls with increasing volume at CBOE:

ACAD 1/17/2015 15.0000 35K contracts
SPY 4/20/2013 155 27K
BAC 1/18/2014 10 13K
AAPL 4/20/2013 400 9K

Puts with increasing volume at CBOE:
SPY 5/18/2013 150 56K contracts
IWM 4/20/2013 88 20K

 

MCD profits and revenue slightly lower, off $1.50.

Vertex Phara up huge pre-market (up ~$33 to ~$86), with good news on a cystic fibrosis trial.