Options Trading

Todays events:Initial jobless claims, ISM manufacturing Index.

The ADP estimate of new private-sector jobs was a bit below expectations. Initial jobless claims- decreasing new unemployment claims would mean improving labor market.  ISM manufacturing Index- a reading above 50 percent indicate an expanding in US national manufacturing.  VIX cash gaiend $0.61 to $32.89, VIX futures still  implying a volatile market, but we are starting to see a change in the curve and gradually getting its original slope.  
The "UpDown" signals are an outcome of calculated calls and puts implied volatility.  Positive numbers yielded from higher calls IV, means  traders believe that the stock will rise and are willing to pay more for the calls, the opposite goes for the puts.

Friday's economic event : Retail Sales ex-auto...

Retail ex-auto came up positive and better than expected. VIX cash droped by $2.64 to $36.36.  Calculated derivatives (Volume and prices look at the table below) and VIX futures trem structure trades the opposite of it's "NORMAL" structure, still implying high volatility.   Option traders would likely trade straddles to scalp markets volatility.
The "UpDown" signals are an outcome of calculated calls and puts implied volatility.Positive numbers higher calls IV traders believe that the stock will rise and are willing to pay more for the calls, the opposite goes for the puts.

Options’ trading offers the opportunity to investors, to fully protect their long stock portfolio, using what is known as a Costless-Collar strategy. The idea is to provide hedging on the long stock held, without paying a net premium for it!.....   read more