Option Block 430: Shaken, Not Stirred

08/05/2015 39 min
Option Block 430: Shaken, Not Stirred

Listen "Option Block 430: Shaken, Not Stirred"

Episode Synopsis

Trading Block: Bond, James Bond. A bullish bond market rally could be in our future. VIX going into Non-Farm Payroll - could we see a big move?
Odd Block: Puts trade in Whole Foods Market, Inc. (WFM), puts go up in iShares iBoxx High Yield Corp ETF (HYG), calls trade in Alibaba Group Holding Ltd (BABA)
Mail Block: Listener questions and comments

Question from Dmitry Shesterin: Where do you see more HFT activity, in equities markets or options?
Question from Tom: When should I adjust a credit spread? What percentage of profit should I aim for?
Question from Fred: I am a futures guy dabbling in options. Do options traders need different tool than futures traders? If so, what tools or services do you recommend outside of the broker platforms?
Question from Karl: What is the better way to get "free juice" on a bullish position - bullish risk reversal for a credit/even, vertical ratio call spread for a credit/even or just a short put for a credit (obviously). This would be for a near term (a few months), but not explosive (maybe to 5%) rally in the underlying. When is buying the stock the best option?

Strategy Block: Uncle Mike Tosaw discusses selling puts.
Around the Block: Looking ahead to non-farms

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