Option Volatility And Earnings Report For January 12 - 16

Earnings season kicks into gear this week with banks and tech stocks taking center stage. This week we have Bank of America (BAC), Taiwan Semiconductor (TSM), JP Morgan (JPM), Wells Fargo (WFC), Citigroup (C), Morgan Stanley (MS), Goldman Sachs (GS) and Delta Airlines (DAL) all reporting in what shapes as a busy and pivotal week for stocks. Before a company reports earnings, implied volatility is usually high because the market is unsure about the outcome of the report. Speculators and hedgers create hug ...