Moderately bullish activity in Marvell (MRVL), with shares down $1.70 near $85.06. Options volume relatively light with 51k contracts traded and calls leading puts for a put/call ratio of 0.36, compared to a typical level near 0.72. Implied volatility (IV30) is higher by 0.8 points near 49.11,in the bottom quartile of the past year, suggesting an expected daily move of $2.63. Put-call skew flattened, suggesting a modestly bullish tone. Claim 70% Off TipRanks This Holiday Season Published first on TheFly ...

Mixed options sentiment in Hims and Hers Health (HIMS), with shares down 82c near $32.23. Options volume roughly in line with average with 81k contracts traded and calls leading puts for a put/call ratio of 0.73, compared to a typical level near 0.59. Implied volatility (IV30) is higher by 3.1 points near 60.94,in the lowest 10% of observations over the past year, suggesting an expected daily move of $1.24. Put-call skew flattened, suggesting a modestly bullish tone. Claim 70% Off TipRanks This Holiday S ...

Market Volatility & Outlook - The VIX, a 30-day outlook on S&P 500 implied volatility, may be understated due to upcoming holidays, suggesting a truer measure of 18.12 to 19 [1][2] - Options expiring at the end of January indicate anticipation of increased choppiness, with out-of-the-money puts and calls experiencing greater price increases than at-the-money options [3] - The market may experience a similar pattern to the previous year, with a strong rally up to Thanksgiving followed by a choppy December [4] - Calmness on the surface belies increased alertness in the wings, suggesting potential for significant market movement [6] Macroeconomic Uncertainties - An upcoming presidential announcement, potentially related to Venezuela, introduces macroeconomic uncertainty that could impact options prices and trigger a knee-jerk reaction in risk assets [7][8] - Options market activity suggests concern about potential knee-jerk reactions to risk assets stemming from macroeconomic uncertainties [7][8] Sector Performance - Some of the hottest performing sectors year-to-date are experiencing a roll-off [3]

Option traders moderately bearish in Broadcom (AVGO), with shares down $15.36 near $344.57. Options volume more than double the daily average with 230k contracts traded and calls leading puts for a put/call ratio of 0.63, compared to a typical level near 0.7. Implied volatility (IV30) is higher by 1.4 points near 43.53,and below the 52wk median, suggesting an expected daily move of $9.45. Put-call skew steepened, indicating increased demand for downside protection. Claim 50% Off TipRanks Premium and Inve ...

While it doesn’t necessarily look like it on surface level, Nvidia (NVDA) just flashed a rare quantitative signal. In the last 10 weeks, there were only three instances of up weeks, with the rest being down weeks (defined as the negative return from Monday’s open to Friday’s close). But because the actual loss during this period was just under 3%, it doesn’t necessarily register as a big deal. Historically, it’s actually a huge deal. Let’s just hold that thought for now. More News from Barchart Even th ...

Broadcom (AVGO) is due to report earnings after the market close on December 11th and the market is pricing in a 10.1% move in either direction. Implied volatility is 53.56% which gives AVGO an IV Percentile of 84% and an IV Rank of 47.52%. More News from Barchart A screenshot of a computer AI-generated content may be incorrect. Broadcom is a premier designer, developer and global supplier of a broad range of semiconductor devices with a focus on complex digital and mixed signal complementary metal oxi ...

The intense selling pressure that has weighed on Bitcoin in recent weeks looks to be easing, raising hopes that the token’s brutal slide is nearing an end. The original cryptocurrency was little changed at around $88,000 on Tuesday, well above last week’s slump that consigned it to a seven-month low, triggering massive liquidations and erasing more than $1 trillion in value from the broader digital-asset market. Most Read from Bloomberg The mood among traders remains cautious, highlighting the market’s ...

Group 1 - The stock of Atlantic Union Bankshares Corporation (AUB) is experiencing significant attention due to high implied volatility in the options market, particularly for the Jan. 16, 2025 $22.5 Call option [1] - Implied volatility indicates the market's expectation of future price movement, suggesting that investors anticipate a significant change in the stock's price, potentially due to an upcoming event [2] - Atlantic Union Bankshares holds a Zacks Rank 3 (Hold) in the Banks – Northeast industry, which is in the top 20% of the Zacks Industry Rank, with recent earnings estimates showing a slight increase from 85 cents to 86 cents per share [3] Group 2 - The high implied volatility may indicate a developing trading opportunity, as options traders often seek to sell premium on options with high implied volatility to capture decay [4]

Core Insights - The article draws a parallel between certain stocks and snakes, highlighting that some stocks may appear risky but are actually safe investments, akin to king snakes mimicking coral snakes [1][3]. Stock Analysis - **CRISPR Therapeutics AG (NASDAQ:CRSP)**: The stock has decreased by 21% this quarter and 23% from its annual high of $78.48. However, it has maintained its prior low of around $51 and its 200-day moving average, indicating potential support. The stock only fell 0.7% post-earnings after a narrower-than-expected loss, and its experimental cholesterol treatment shows promise. The 14-day Relative Strength Index (RSI) is at 30, suggesting it may be a good buying opportunity [5]. - **Crocs Inc (NASDAQ:CROX)**: The stock held its prior low of $73, and despite current unattractiveness, there are optimistic signs following earnings with a top-line beat and price-target hikes. Options are affordably priced, making it a potential buy for investors looking for value [7]. - **Palantir Technologies Inc (NASDAQ:PLTR)**: The stock is currently facing challenges, with a middling RSI and support at the 100-day moving average. There are concerns about a potential double top formation, and it is viewed as a target due to AI valuation concerns [9]. - **AppLovin Corp (NASDAQ:APP)**: The stock briefly breached its prior lows at $545 but quickly recovered, indicating chart support. While it is not considered oversold, the 80-day trendline is providing assistance, and $500 was a significant peak earlier in the year [11]. Volatility Insights - All four stocks mentioned have implied volatilities at modest-to-low levels, which is advantageous for options traders looking for stocks experiencing a post-earnings volatility crush [13]. Value Trap Consideration - The article also mentions the concept of value traps, referring to stocks that have performed well but may not have reached their lowest point yet, indicating potential risks for investors [14].

Core Insights - The article discusses the dynamics of implied volatility (IV) in the options market during earnings season, highlighting how it affects stock movements and option premiums [1][2] Group 1: Options Market Dynamics - Implied volatility often rises during earnings reports, leading to increased option premiums as traders seek protection or speculate on stock movements [1][2] - Large companies like Nvidia experience significant stock price fluctuations post-earnings, influencing market expectations and option pricing [2] - The options market features both debit buyers, who pay premiums for potential outcomes, and credit sellers, who underwrite the risk of those outcomes not materializing [3][4] Group 2: ProShares IQQQ ETF - The ProShares Nasdaq-100 High Income ETF (IQQQ) is designed to generate strong, recurring yield without directly writing options, instead utilizing total return swap agreements [6][7] - IQQQ aims to balance high yield with long-term total return potential, a challenge for many income-focused funds [8] - The fund's income stream is derived from selling call options, which limits its upside potential but funds its yield [9][10] Group 3: Daily Call Writing Strategy - IQQQ employs a daily call writing strategy, allowing it to capture short bursts of volatility more effectively than traditional monthly strategies [10][11] - This approach provides a more flexible balance between income generation and capital appreciation, avoiding the "locked ceiling" issue of monthly covered-call strategies [11] - The fund distributes cash monthly, appealing to income-focused investors seeking predictable payouts [12][13] Group 4: Performance and Risks - Since the beginning of the year, IQQQ has gained approximately 6%, with a more impressive 20% increase over the trailing six months [15] - The fund is not immune to volatility risks, as its performance is tied to the Nasdaq-100, and it carries counterparty risk due to its reliance on swap agreements [14] - Monthly distributions may fluctuate based on market conditions and implied volatility, potentially declining during downturns [15]