The Big Idea
I think we are currently in one of the periods where the market's realized volatility can somewhat easily pay for long gamma. If one knows how to manage the gamma, you could do reasonably well.
April 21, 2014 11:11 AM ET
With earnings due out in the first week of May, options order flow on OXY has turned bullish amid heavy trading of August 105 calls on the stock last week.
April 21, 2014 8:36 AM ET
We need a move below $92 at June expiration to break even on this risk reversal, and that's well within even the market-implied standard deviation for that period.
April 21, 2014 8:27 AM ET
I believe the decline has run its course and that the rebound has already begun.
April 21, 2014 8:16 AM ET
The trade tactic is the same I recommended in March, but this time the strike prices of the spread are higher.
April 17, 2014 12:55 PM ET
Thursday marks the end of the short week and a few areas where I'll be looking at scalping opportunities to pick up a little premium heading into the weekend.
April 17, 2014 12:40 PM ET
Increased levels of turmoil are good for stock pickers, with a number of names showing notable bullish flow in the form of unusual upside call buying coincident with lifting implied volatility.
April 17, 2014 12:24 PM ET
We can take a bearish market view via a long put in SPY with the intent to convert the position.
April 17, 2014 11:19 AM ET
This year, one of the best sources of returns has been the passage of time.
April 17, 2014 8:25 AM ET
This stock is as coiled as it gets, plus earnings expectations are not so great.
April 16, 2014 3:23 PM ET
I think we SHOULD be range bound between 1830-1860 for the next few days until we get a big bite of corporate earnings.
April 16, 2014 1:00 PM ET
The options flow is certainly expressing a bullish longer-term view on LNG.
April 16, 2014 8:58 AM ET
The trade tactic I prefer for LRCX is the bullishly-biased, out-of-the-money call spread expiring in June.
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