Option Block 700: The Soft Underbelly of the Market

Published: March 20, 2018, 8:33 p.m.

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Trading Block: VIX is back in the 20's. Facebook is taking it on the chin as Russia fallout continues - down 7% and leading other tech stocks into the toilet. Fed Meeting with New Chairman on Wednesday. Earnings: Oracle - ATM straddle - $2.75, over 100k contracts on the tape.

Odd Block: Call palooza in Olin Corporation (OLN), put palooza in UnitedHealth Group Inc. (UNH), split ticket puts in Criteo SA (CRTO).

Mail Block: Vote in our Options Broker Madness competition each day by going to @Options on Twitter.

Results:

  • Interactive Brokers vs. Sogo - Interative Brokers
  • TDAmeritrade (TOS) v. Choice Trade - TD Ameritrade
  • Schwab (OptionsXpress) v. Tastyworks- Tastyworks
  • Fidelity v. RobinHood- RobinHood
  • Lightspeed v. eOption- Lightspeed
  • E-Trade (OptionsHouse) v. TradeHawk- E-Trade

Listener questions and comments:

  • Question from Malthe Have Musaeus:If I buy a call option and afterwards sell it for a profit, I'm not the one obligated to sell 100 shares if that option is exercised later right? How do I close my call option position completely and take my profit/loss?
  • Question from The Chazz - What do the option block all-stars think the skew will look like in bitcoin options?
  • Question from Jack K. -How do people afford to sell puts in TSLA? In order to do any size (like a 10 lot) you have to be able to put up the cash to buy 330k worth of stock. Even a one lot costs 33k. Maybe we need some minis on TSLA?

Around the Block/Economic Reports:

  • Mar 21 - Existing Home Sales, FOMC Meeting
  • Mar 22 - Jobless Claims
  • Mar 23 - Durable Goods, New Home Sales
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