Category Archives: Trader Talk

No Comments

The Weekly Options News Roundup – 9/19/2014

Your weekly recap of CBOE features, options industry news and VIX and volatility-related articles from print, broadcast and online and social media outlets. Applause, Applause Global Capital magazine held its annual Global Derivatives Awards ceremony in London Thursday evening, handing out several financial industry awards.  CBOE is honored to be named “Equities Exchange of the [...]

No Comments

CBOE Mid-Day Update 9.19.14

Volatility as an asset class Yahoo (YHOO) is recently down 95c to $41.18 on Alibaba (BABA) going public in a 320.1M share IPO priced at $68.  BABA is recently trading at $92.64.  September weekly call option implied volatility is at 60, October weekly is at 53, October is at 46,  November is at 40, January [...]

No Comments

Blogging Options: CBOE Morning Update 9.19.14

Alibaba.  No for Scotland. Triple Witch.  AAPL phone.  Stocks open higher on Scottish vote and follow through to yesterday’s rally. Lots of investors shut out on BABA IPO.  Options on BABA 9/29.  Volatility as an asset class: Yahoo (YHOO) saw profit takers  move the shares to unchanged after being up $0.60 in the pre-market, as [...]

No Comments

Weekly Weekly’s for 9.18.14

Where does the trade go from here?  I’m Angela Miles, and that is what I am covering today. Option’s plays in hot stocks going into next week’s options expiration. Let’s get it started with the grand-daddy of them all: Apple. Apple’s iPhone 6 hits store shelves tomorrow. Implied volatility has remained tame with many traders [...]

No Comments

CBOE Mid-Day Update 9.18.14

Volatility as an asset class Yahoo (YHOO) is recently down 54c to $42.05 into the expected IPO of Alibaba (BABA).  September call option implied volatility is at 98, September weekly is at 77, October weekly is at 63, October is at 50,  November is at 46, January is at 37; compared to its 26-week average [...]

No Comments

CBOE Mid-Day Update 9.15.14

Volatility as an asset class Yahoo (YHOO) is recently up 11c to $42.99 into the Alibaba (BABA) offering.  September call option implied volatility is at 56, October weekly is at 55, October is at 50,  November is at 44, January is at 37; compared to its 26-week average of 34. VIX methodology for IBM (VXIBM) [...]

No Comments

Alibaba – Premiering Soon at CBOE

We don’t have to wait “One Thousand and One Nights” for the Alibaba IPO.  We have seen several reports about Alibaba (BABA is the expected stock symbol) being priced on Thursday September 18th and shares trading Friday, September 19th.  When all is finalized we will be back to confirm everything, but this is a good [...]

No Comments

CBOE Mid-Day Update 9.11.14

Volatility as an asset class Restoration Hardware (RH) is recently down $3.67 to $78.42 after the high end home retailer reported less than expected Q2 revenue. September call option implied volatility is at 39, October is at 34, November is at 35; compared to its 26-week average of 48. Five Below (FIVE) is recently down [...]

No Comments

CBOE Mid-Day Update 9.10.14

Volatility as an asset class Bank of America (BAC) is recently up 8c to $16.22 on seeing reducing branches to 5,000 by end of year. September and October call option implied volatility is at 19, December is at 20; compared to its 26-week average of 23. eBay (EBAY) is recently down $1.62 to $51.11 in [...]

No Comments

CBOE Mid-Day Update 9.9.14

Volatility as an asset class Apple (AAPL) is recently up $1.22 to $99.64 into its much-anticipated product launch event. September weekly call option implied volatility is at 56, September is at 35, October is at 31, December is at 25, January is at 24; compared to its 26-week average of 25. VIX methodology for Apple [...]

No Comments

Blogging Options: CBOE Morning Update 9.9.14

Overseas markets seeing contagion fears on Scottish independence vote.  Spanish bonds higher, SPX off 7 points, VIX up 0.30 in first 20 minutes.  MCD with huge drop in same-store-sales in Asia off $0.50. Volatility as an asset class Apple (AAPL) up $1 in first half hour of trade to $99.36 into today’s press event. September [...]

No Comments

CBOE Mid-Day Update 9.8.14

Volatility as an asset class Apple (AAPL) is recently down 28c to $98.72 into a company sponsored September 9 press event.  September weekly call option implied volatility is at 53, September is at 35, October is at 31, December is at 25, January is at 24; compared to its 26-week average of 25. VIX methodology [...]

No Comments

Presentation on VXTYN Futures & Interest Rate Volatility Delivered by Yoshiki Obayashi

Earlier today in Dublin, Ireland. Yoshiki Obayashi, Founder and Managing Director, Applied Academics, delivered a presentation at the CBOE Risk Management Conference Europe in Ireland on the subject of the CBOE/CBOT 10-year U.S. Treasury Note Volatility Index (VXTYN) and interest rate volatility. The VXTYN Index measures the expected volatility of the price of 10-year Treasury [...]

No Comments

CBOE Mid-Day Update 9.5.14

Volatility as an asset class TASER (TASR) is recently up 62c to $18.17 after New York City Police Department Commissioner William Bratton yesterday announced that the department would begin testing two types of body cameras that will allow police officers to record audio and video during their interactions with the public. The two devices that [...]

No Comments

Weekly Weekly’s for 9.4.14

Apple leads the way in my report on Weekly’s. The highly anticipated new product launch is next Tuesday. Today, I’m covering weeklys set to expire this Friday and next Friday, September 12th. It’s been a wild week for Apple (AAPL) traders. The stock is now trading below $100. Some people say it’s profit taking ahead [...]

No Comments

CBOE Mid-Day Update 9.4.14

Volatility as an asset class SolarCity (SCTY) is recently up $4 to $71.12 after announcing plans to open 20 new operations centers in seven states. September 12 weekly call option implied volatility is at 44, September is at 45, October is at 46, January is at 49; compared to its 26-week average of 60. BP [...]

No Comments

CBOE Mid-Day Update 9.3.14

Volatility as an asset class Market-Vector Russia ETF Trust (RSX) is recently up $1.24 to $24.83 on hopes for a Ukraine conflict resolution. September weekly call option implied volatility is at 31, September is at 27, November is at 25; compared to its 26-week average of 25. Mobileye (MBLY) is recently up $4.39 to $47.41 [...]

No Comments

RMC Kicks off with Primer on Options and Volatility Strategies

The first session kicking off the 2014 CBOE Risk Management Conference Europe was led by Paul Stephens from CBOE and Colin Bennett Head of Quantitative and Derivative Strategy at Banco Santander Central Hispano.   Bennett is also the author of Trading Volatility which may be found at www.trading-volatility.com. This session was a great primer for the information [...]

No Comments

CBOE Mid-Day Update 9.2.14

Volatility as an asset class Norwegian Cruise Line (NCLH) is recently up $3.88 to $37.19 after agreeing to acquire upscale peer Prestige Cruises for $3B. September call option implied volatility is at 28, October and December is at 23; compared to its 26-week average of 27. Under Armour (UA) is recently up $2.02 to $70.39 [...]

No Comments

The Weekly Options News Roundup – 8/29/2014

Your weekly recap of CBOE features, options industry news and VIX and volatility-related articles from print, broadcast and online and social media outlets. Financial Leaders Unite Leaders in the financial industry from LaSalle Street to Wall Street have joined together answering the call of the Ice-Bucket Challenge, raising money for ALS Research. CBOE CEO Ed [...]

No Comments

CBOE Mid-Day Update 8.29.14

Volatility as an asset class Tesla Motors (TSLA) is recently up $6.90 to $270.66 as shares trade at a record high on signing an agreement with China Unicom (CHU) to construct 400 charging points in 120 cities at the China’s company’s outlets, according to Bloomberg, citing comments from Tesla spokeswoman Peggy Yang. September weekly call [...]

No Comments

Blogging Options: CBOE Morning Update 8.29.14

July Income rose 0.2% and Spending fell 0.1% (+0.3 and +0.2 expected).  Savings rate grew slightly. Two more reports later this morning and then long weekend begins. Train empty on way in. Bonds close early today. Volatility as an asset class Splunk (SPLK) is up $2.91 to $48.20 in the premarket after reporting better than [...]

No Comments

Weekly Weekly’s for 8.28.14

As we inch closer to the long Labor Day Holiday weekend, I’m mostly focused on weekly’s with options expiration for this Friday. I have a feeling many traders will be using this strategy with the weeklys for a quick turnaround play before taking off for the weekend. It’s going to be very interesting to see [...]

No Comments

CBOE Mid-Day Update 8.28.14

Volatility as an asset class Market-Vector Russia ETF Trust (RSX) is recently down 73c to $24.39 as the Ukraine conflict worsens. September weekly call option implied volatility is at 27, September and October is at 28, November is at 26; compared to its 26-week average of 25. GoPro (GPRO) is recently $2.22 to $47.73, near [...]

No Comments

Blogging Options: CBOE Morning Update 8.28.14

Traders are hearing Russian troops have entered Ukraine – or haven’t, depending on whether you are hearing Ukranian, NATO or Russian comments.  On the economic front Weekly Jobless Claims remained under 300k, unchanged from last week.  Q2 GDP first revision showed the economy grew 4.2% (original estimate +4.0%, higher than the 3.9% to 4.0% estimates), [...]

No Comments

Expiration Friday – At Last

Expiration Friday. Since the beginning of time (OK, the last 40 years we’ve had listed options), options expired on the Saturday following the 3rd Friday of the month.  Why Saturday? Let’s take a walk to the way-back machine with Mr Peabody.   I was a floor trader at the CBOE and I am trading front-month options [...]

No Comments

CBOE Mid-Day Update 8.27.14

Volatility as an asset class Chico’s FAS (CHS) is recently down 57c to 15.45 after the woman’s seasonal merchandise reported a Q2 profit decline of 31% on promotions. September call option implied volatility of is at 27, October is at 26, January is at 27; compared to its 26-week average of 33. Express (EXPR) is [...]

No Comments

Blogging Options: CBOE Morning Update 8.27.14

Markets overseas fairly quiet and down fractionally.  Ukraine situation causing flight to safety with US & German Treasuries.  Record highs but light-holiday volume.  10K VIX futures in early session, pretty average volume.  Jackie Robinson West parade in Chicago today, good weather & big crowds expected.  Volatility as an asset class Tiffany (TIF) is up $2.23 [...]

No Comments

Labor Day Holiday Trading Schedule

Labor Day is next Monday, this summer went fast.  The following is the trading schedule for Chicago Board Options Exchange® (CBOE®), C2 Options ExchangeSM (C2SM) and CBOE Futures ExchangeSM (CFE®) in observance of the upcoming Labor Day holiday: Friday:  Regular trading hours for everything. Monday:  CBOE & C2 Closed. CFE:   All products closed with the [...]

No Comments

CBOE Mid-Day Update 8.26.14

Volatility as an asset class Ann Inc.  (ANN) is recently up $2.29 to $42.28 after hiring a bank to explore strategic alternatives, Reuters says. September call option implied volatility is at 35, December is at 32; compared to its 26-week average of 34. Alcoa (AA) is recently up 14c to $16.62 as aluminum trades at [...]

No Comments

Blogging Options: CBOE Morning Update 8.26.14

The Durable Goods report is considered a volatile number, and the July report just released didn’t disappoint.  Durable Goods spiked higher by 22.6% (helped by a jump of 318% in non-defense aircraft), X-Aircraft Durables dropped 0.8%, a big miss.  Stock futures didn’t budge, up slightly before the opening.  Option volume yesterday a little light as [...]

No Comments

CBOE Mid-Day Update 8.25.14

Volatility as an asset class VIX methodology for IBM (VXIBM) up $1.21 to 14.79; below its 50-day moving average of 18.04. cboe.com/VXIBM VIX methodology for Goldman Sachs (VXGS) up 50c to 18.15; below its 50-day moving average of 18.87. cboe.com/VXGS  VIX methodology for Apple (VXAPL) up 89c to 25.24; below its 50-day moving average of [...]

No Comments

Blogging Options: CBOE Morning Update 8.25.14

Overseas markets mixed to higher – DAX up ~1%.  10-year dips below 2.4%, oil higher, metals flat.  Busy day Friday as CBOE trades ~6.6mm of 23.5mm options trading.  SPX traded over 1mm contracts, VIX with 868K and VIX Futures showed ~365k contracts traded.  Parade in Chicago Wednesday for Jackie Robinson Jr. US Championship Little League [...]

No Comments

CBOE Mid-Day Update 8.22.14

Volatility as an asset class Green Mountain Coffee (GMCR) is recently up $16.58 to 134.34 on a Kraft Foods (KRFT) licensing agreement.  September call option implied volatility is at 32, December is at 35; compared to its 26-week average of 48. Foot Locker (FL) is recently up $1.58 to $54.15 on Q2 profit increasing 39%.  [...]

No Comments

Weekly Weekly’s for 8.21.14

Gap, GameStop and Salesforce.com all report earnings after the bell and traders are setting up now in weekly options. I’m Angela Miles covering Weeklys set to expire this Friday and next Friday. I’m falling into the Gap to start this report. Some traders are using call spread strategies as an earnings play on GPS. As [...]

No Comments

CBOE Mid-Day Update 8.21.14

Volatility as an asset class Bank of America (BAC) is recently up 39c to $15.91 on paying a $16.65B settlement with DOJ. August 8/27/14 call option implied volatility of 21, September is at 16, October is at 15; compared to its 26-week average of 23. Auxilium (AUXL) is recently up 63c to $18.40 after announces positive data [...]

No Comments

CBOE Mid-Day Update 8.20.14

Volatility as an asset class International Rectifier (IRF) is recently up $12.60 to $39.15 on Infineon Technologies (IFNNY) acquiring for $40 per share in an all-cash transaction valued at approximately $3B. September and October option implied volatility of 17 is below its 26-week average of 34. Staples (SPLS) is recently down 34c to $11.28 after [...]

No Comments

CBOE Mid-Day Update

Volatility as an asset class SPDR Homebuilder (XHB) is recently up 65c to $31.79 on July Housing starts were 1093K vs 1000K.  September call option implied volatility is at 16, December is at 17; compared to its 26-week average of 20. TJX (TJX) is recently up $4.62 to $58.55 after reporting better than expected Q2 results [...]