Intel enters earnings facing a critical test of its turnaround.
dealer gamma
AMZN Earnings Preview: Can AWS Growth Justify the AI Spending Boom?
Amazon enters earnings with investors asking whether accelerating AWS demand can justify aggressive AI infrastructure spending.
A Tech-Led Rally the Volatility Surface Has Not Confirmed
A VIX skew slide, an unchanged volatility surface and negative forward gamma explain why this tech-led rally looks transient to options traders.
GOOGL & MSFT Earnings Preview: Two AI Hyperscalers, One Big Test for the Options Market
Wednesday evening brings one of the most consequential earnings events of the quarter as Alphabet and Microsoft report results within an hour of each other.
Dip Buyers Step into the AI Unwind
Will the Selloff Continue? The market began to waver at the end of last week, with the S&P 500 down nearly 2% and Nasdaq dropping 3% from mid-week highs. We noted a spike in MAGS put buying and a rising put/call ratio in our previous Sunday Newsletter as big tech earnings approached. Then, our October […]
OPEX Week Shatters Market Calm
Vol Sellers Forced to Cover as VIX Breaks 20 On Friday, the market’s calm broke heading into the October monthly options expiration. The S&P 500 dropped over 1% on the day while the VIX jumped to close at 20 — the highest level in nearly three months. Options traders spent Friday scrambling for protection, marking […]
Why Option Premiums Look Too Thin To Sell
Why selling options premium offers thin compensation with short-dated implied volatility near its lows, and the SPX gamma levels that would change that.
CPI Meets Positive Gamma: The SPX Levels That Could Determine the Next Move
Wednesday’s inflation report could determine whether stocks extend their rally or face renewed selling pressure as rising Treasury yields threaten to disrupt a relatively calm options market.
The OPEX Effect: Put Selling Is Still Doing The Work
Single stock put selling has left dealers long gamma while realized vol sits near lows. See the positioning levels that would change the read.
Banks Look for an Earnings Bounce Ahead
XLF: The Next Rate-Sensitive Setup The S&P 500 once again flirts with all-time highs, proving that current headwinds can do little to sway bullish sentiment. The threat of rising rates continues on as one such headwinds, creating interesting trade opportunities along the way. Last week, we highlighted an opportunity in the utilities sector (XLU) if […]