In this episode of OPEX Effect, we dive into the recent market volatility and its connection to options flows. We discuss the sudden VIX spike to 65, examining the factors that led to this extreme event, including low liquidity, the unwinding of correlation trades, and the impact of zero-day options. We explore how the market […]
The OPEX Effect
The OPEX Effect: July 2024 | Inside What is Driving This Weird Market
In this episode of the OPEX Effect, we explore the current market rally and discuss the concept of “correlation spasms” – unusual movements and relationships between market components. We examine record low volatility, the outsize impact of mega-cap tech stocks, and the recent surge in small-caps. We analyze the prevalence of zero days-to-expiry options trading […]
OPEX Effect: June is Call-Bloated
In The OPEX Effect: June 2024, Brent Kochua and Jack Forehand discuss the impact of options expiration (OPEX) on market volatility and specific stocks, such as Nvidia. During periods of low market volatility, significant call positions expiring can lead to increased market movement and volatility. They mention the influence of JP Morgan’s collar positions on the […]
The OPEX Effect: Feb Edition
SpotGamma Founder, Brent Kochuba, talks about the extreme call skews, and why that may lead to some stock price consolidation into the end of February.
The OPEX Effect: November 2023
Listen to “The OPEX Effect” podcast – targeted to those of you will investing time frames past a few weeks. Here we cover some interesting trends in equity volatility, and breaking its link to interest rates. Also some call buyers in both the Magnificent 7 & cryptos.
