Option Block 732: Talking MSFT, TSLA, VIX, and VXX; plus Pairs Trading
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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