Talking MSFT, TSLA, VIX, and VXX; plus Pairs Trading
Listen to Option Block 732: Talking MSFT, TSLA, VIX, and VXX; plus Pairs Trading
Trading Block: A review of the week in trading
- Amazon and Apple: The race to $1 trillion.
Earnings!
- Thursday – Microsoft
- Friday – GE, Honeywell
- MSFT (after the bell) – $104.70, ATM straddle: $3.70, approx. 3.5%
Odd Block: Bullish risk reversal in Discovery Communications Inc. (DISCA),
Rolling call speeds in Omnicom Group Inc. (OMC),
Call 3-way in Hanesbrands Inc. (HBI)
Strategy Block:
Uncle Mike Tosaw discusses options pairs vs. stock pairs.
Mail Block: Listeners weigh in
Volatility Flash Poll: $VXX is back in the erosion zone. Many short vol traders are anxiously waiting for it to break the 30 handle. When do you think $VXX will finally break 30? This week? Next Week? Never? Let us know below:
- Week Ending Fri 7/20
- Week Ending Fri 7/27
- Week Ending Fri 8/3
- Never! I’m Long Vol!
Last week’s option question of the week: Yup it’s earnings season once again. Options traders are gearing up for a busy season. Which names do you think will dominate your options trading this season?
- 17% – $NFLX
- 44% – $AMZN
- 22% – $TSLA
- 17% – $GOOGL
Around The Block/This Week in the Markets:
- Jul 19 – Jobless Claims