Option Block 400th Episode Spectacular Our favorite episodes, listener questions and memories from 400 episodes of the Option Block. Listener Mail Palooza: Question from Charles B - Great show guys. Congrats on your continued success. I recently stopped trading options on Google and PCLN because the spreads were just too wide. Why do the market makers do this? Is it not in their best interest to provide an incentive for traders like me to actually trade the product? If I cannot afford the spread...
Jan 13, 2015•1 hr 2 min
Option Block 399: The Gamma Rage Monster Trading Block: A reversal of the selloff we saw earlier this week. Big Apple numbers. S&P 500 erases 2015 loss, euro weakens on stimulus bets Odd Block: Puts trade in iPath S&P 500 Short Term VIX ETN (VXX), calls go up in Brunswick Corp. (BC), and puts roll in Vanguard Emerging Markets ETF (VWO) Xpress Block: What was the most notable change in the business in 2014? And what will that mean for 2015? Mail Block: Listener Questions & Comments Qu...
Jan 09, 2015•1 hr 3 min
Option Block 398: Getting Burned By Deltas Trading Block: A selloff of the market today. Facebook options turning bearish on 2015 after 195% rally. Crude oil falls below $50 a barrel for the first time in 5 1/2 years. OCC announces cleared contract volume up 4% in 2014 and a record year for cleared futures volume. Odd Block: Calls trade in iShares MSCI Italy Index (EWI), opening call buyers in Lifelock Inc. (LOCK), and puts roll in Lumber Liquidators Holdings (LL) Strategy Block: Mike Tosaw disc...
Jan 06, 2015•54 min
Option Block 397: 2014 Year in Review Trading Block: Looking Back at 2014 The crash in the price of oil. The potential for Apple to move. GDP growth at 5% in the US. The 10-year trading about 100 basis points below expectations. Changes in portfolio margin. VIX becoming more and more mainstream. The Ukrainian crisis of Q1/Q2. The October volatility. Continuing consolidation in the brokerage community. How about the speed of the VIX spikes? Despite "low" VIX options, volume still strong in 2014. ...
Dec 30, 2014•1 hr 3 min
Option Block 396: The Most Epic Strategy Block Ever Trading Block: A shortened holiday week, so not much is moving on the street. Upside move in Taser. Facebook and Amazon. Odd Block: Calls trade in Cobalt International Energy (CIE), opening calls trade in U.S. Bancorp (USB), and calls going up in Alibaba Holding Group Ltd (BABA). Xpress Block: Another new tool is being rolled out by OX - IRIS. Strategy Block: In the spirit of the season, Uncle Mike presents The Twelve Rules of Options Trading! ...
Dec 24, 2014•57 min
Volatility Views 140: It All Starts with Onion Volatility Volatility Review: The week in vol VIX Cash: High - 25.2, Low - 16.07. S&P: 10 day HVOL - 22, 30 day HVOL - 13, Skew Index - 126.4, at the low end of the chart for the past three months. VVIX: High - 141.22, Low - 109.4, nearly doubled over the past two weeks. VIX Options: Total 4.29m (2.97m Calls, 1.32m Puts), only one day over 1M contracts this week despite significant market movement. VXST: High - 25.47, Low - 14.06, another week o...
Dec 22, 2014•57 min
Option Block 395: Janet Yellen vs. Farrah Fawcett Trading Block: A very aggressive day on the street. The market is off to the races - up nearly 2% in the session today. Brent triggers a circuit breaker - to the upside? U.S. stocks lead global equities rally on Fed rate policy. Odd Block: Upside calls trade in ProShares Ultra DJ-UBS Crude Oil (UCO), puts trade in Mylan Inc (MYL), calls trade in Quicksilver Inc. (ZQK), and puts trade in Noble Corp. (NE) Xpress Block: A review of some of the miles...
Dec 19, 2014•56 min
Option Block 394: Oil Speculators Get Burned Trading Block: Oil and oil related issues are still dominating trading - crude taking it on the chin. Brent and WTI hovering at crazy ranges. Most recent CFTC data shows increased net long positions. VIX, VXST and VVIX Odd Block: Golar LNG Limited (GLNG), AGCO Corporation (AGCO), and Neptune Technologies & Bioressources-Ord (NEPT) Xpress Block: A look at one of the coolest tools OX offers - The Walk Limit. Mail Block: Listener questions and commen...
Dec 16, 2014•1 hr 2 min
Option Block 393: Oil, LULU, Swaps, and More Trading Block: A mild day on the street. Swap Talk: Why are people fighting over Dodd-Frank and derivatives? Traders hedge oil ETF while energy stocks lure buyers. U.S. oil prices drop below $60 Odd Block: Bullish calls trade in Dex Media Inc., synthetic covered calls trade in Sandridge Energy (SD), and looking for a rebound in Whiting Petroleum Corp (WLL) Xpress Block: Lululemon earnings and futures volume. Mail Block: Question from Nico Bellic - The...
Dec 12, 2014•1 hr 2 min
Option Block 392: The Great Broken Wing Butterfly Debate Trading Block: A mild day on the street. Oil futures slide on Saudi price cut to U.S. VIX shunned as few bumps seen for S&P 500 at years end. Odd Block: Call rolls in Opko Health Inc. (OPK), calls trade in Avago Technologies (AVGO), and calls trade in Adobe Systems Incorporated (ADBE). Xpress Block: Insight into oil and gas. The Xpresso newsletter. Mail Block: Listener questions and comments Question from Anthony Fields - I was just re...
Dec 05, 2014•59 min
Option Block 391: Crude Oil Madness Trading Block: A bloodbath in the tech and commodities sectors. Mini Apple crash catches the market off-guard. Energy and oil had their own crash on Friday. The Options Industry Council (OIC) announced today that 294,770,356 options contracts traded in November, down 6.26 percent compared to last November. Odd Block: Puts trade in Marathon Oil Corp. (MRO), calls trade in Bristol-Myers Squibb Co (BMY), and call ratios trade in Barnes and Noble Inc (BKS) Xpress ...
Dec 02, 2014•1 hr 3 min
Option Block 390: Squeezing Out the Vol Trading Block: Short holiday week - When might the market come out? Answer: Monday! Implied Vol in the basement. VIX crushed. Odd Block: Calls trade in TIVO Inc. (TIVO), size calls trade in Demand Media Inc (DMD), and calls trade in Tiffany and Co. (TIF) Xpress Block: With the Viceroy out with the flu, we will play the Trading Patterns guessing game. Strategy Block: Uncle Mike Tosaw discusses hedging using futures. Around the Block:Only Option Block of thi...
Nov 25, 2014•48 min
Option Block 389: Fly Adjustments and Dividends Trading Block: A mild day on the street. Best Buy profit beats estimates as costs fall. Fresh SEC crackdown on ‘flash crashes.’ Correlation gauge for S&P 500 falls at fastest rate ever. Odd Block: Upside call buyers in Axiall Corp. (AXLL), put roll in Stillwater Mining Company (SWC), and calls roll in Huntsman Corp (HUN) Xpress Block: Behind the scenes at Schwab featuring the roll ticket. Mail Block: Listener questions and comments Question fro...
Nov 21, 2014•1 hr 2 min
Option Block 388: Japanese Volatility Trading Block: U.S. stocks open lower as Japanese recession weighs. American markets poised for a pullback after four straight weeks of gains. Japan shocks as economy slips into recession. Cracks widen at OPEC as oil prices tumble. Odd Block: Size combo in Standard and Poor’s 500 Index (SPX), puts trade in iShares MSCI Japan (EWJ), call traders in Buckeye Partners, LP (BPL) Xpress Block: Today was stock pickers day. OX named one of the top 100 places to work...
Nov 18, 2014•55 min
Option Block 387: Crude Oil Put Palooza Trading Block: Gold struggles to find buyers in third quarter. Lower oil prices give a lift to the American economy. Buffett to trade P&G stock to buy Duracell. Odd Block: Calls trade in Cyberark Software LTD (CYBR), calls trade in Demand Media Inc. (DMD), call ratios trade in Charter Communications, Inc. (CHTR) Xpress Block: Amazon and Apple hit near-term highs. Mail Block: Listener questions and comments Question from DJSpin - What is your best play ...
Nov 14, 2014•57 min
Option Block 386: Massive GLD Adjustment Breakdown Trading Block: U.S. stocks move higher again. Twitter shares could move 5 percent in either direction by Friday. BABA soars in China ahead of "Singles Day" Odd Block: Large buy writes go up in Wal-Mart Stores (WMT), call buyers in Lions Gate Entertainment (LGF), and call sweeps in Hovnanian Enterprises, Inc. (HOV). Xpress Block: Alex discusses preparing for tax season Strategy Block: Uncle Mike Tosaw and GLD Around the Block: CSCO earnings 11/12...
Nov 11, 2014•1 hr
Option Block 385: Theta Decay Trading Block: Business welcomes midterm GOP takeover, what can the market hope for from the GOP congress? U.S. stocks mixed as investors’ eye oil prices. Euro falls to two-year low after Draghi signals more ECB action. Tesla shares rallying after earnings. Odd Block: Giant call traders in SPDR S&P Oil and Gas Explorers (XOP), puts trade in Geron Corp. (GERN), and large calls trade in Education Management Corp (EDMC) Xpress Block: Alex discusses the methodology ...
Nov 07, 2014•1 hr 5 min
Option Block 384: BABA Preview and Ratio Spread Breakdown Trading Block: A mild day on the street. The bloodbath in crude continues - closing down on the day. Alibaba now worth more than Wal-Mart. Apple iWatch to be delayed - not affecting AAPL on the day. Odd Block: Calls trade in CBS Corp. (CBS), puts trade in Gerdau SA (GGB), and giant call buyer in Autodesk (ADSK). Xpress Block: Amazon, declining oil and other conversation topics from OX social. Strategy Block: Uncle Mike Tosaw discusses the...
Nov 04, 2014•1 hr
Option Block 383: The Crazy VIX Trading Block: Starbucks and LinkedIn earnings after the bell. SEC warned before about early release weak spot. U.S. stocks fall amid GDP, jobless data; Visa boosts Dow. Odd Block: Calls trade in Generac Holdings Inc. (GNRC), size buy writes go up in Itau Unibanco Holdings Inc. (ITUB), and call selling in SPDR S&P 500 ETF Trust (SPY) Xpress Block: Now introducing a light version of premium harvesting for Schwab mobile Around the Block: Loads of earnings on the...
Oct 31, 2014•57 min
Option Block 382: TWTR Drops and the Viceroy Returns Trading Block: A mild back on the street today. The return of the Viceroy! Twitter options pricing in big stock move - earnings after the bell. Odd Block: Combos trade in Gentherm Inc. (THRM), put spreads trade in Altisource Portfolio Solutions (ASPS), and calls trade in Alaska Air Group, Inc. (ALK) Xpress Block: Alex is back!!! Three- and four-leg spread trades are now available on the OX trading platform Strategy Block: Uncle Mike Tosaw disc...
Oct 28, 2014•1 hr 2 min
Option Block 381: AMZN Sinks while MSFT Soars Trading Block: A mild day on the street. Stocks rally after 3M, Caterpillar profits beat estimates. Exclusive: U.S. stock options markets agree to need for trading halts on big moves. Earnings Report. Odd Block: Puts trade Cisco Systems, Inc. (CSCO), calls trade in ZIOPHARM Oncology Inc. (ZIOP), and buy-write trades in SPDR S&P Metals and Mining ETF (XME) Xpress Block: It’s time once again for the Trading Patterns guessing game! Mail Block: Liste...
Oct 24, 2014•1 hr 2 min
Option Block 380: Apple Bores Us to Tears Trading Block: Apple earnings rundown: weekly straddle at approx. $4.40 going into earnings. Upside in the stealth Apple: CMG. Odd Block: Buy write trades in Digital Realty Trust, Inc. (DLR), calls trade in Yahoo! Inc. (YHOO), and combos trade in iShares MSCI Brazil Index (EWZ). Strategy Block: Uncle Mike Tosaw discusses the benefits of long premium Xpress Block: It’s time once again for the Trading Patterns guessing game. Around the Block: Watching the ...
Oct 21, 2014•1 hr 1 min
Option Block 379: Explosion of VIX Stupidity Trading Block: Rocktober in full effect - hot on the heels of the madness yesterday, we saw another day with record swings and volume. Can nothing derail the bulls? NFLX earnings apocalypse? HBO Go spooking people? Odd Block: Combo unwind in iShares iBoxx $ High Yield ETF (HYG), puts close in Global X FTSE Greece 20 ETF (GREK), and collar closing in Yingli Green Energy Holding (YGE) Xpress Block: With the Viceroy still out, we will play the Trading Pa...
Oct 17, 2014•1 hr 1 min
Option Block 378: Market Apocalypse Redux Trading Block: A crazy time in the markets today - the biggest rally of the year, sparked by the Fed minutes, followed by one of the worst down days. VIX Cash back up over 19. Icahn - Apple trading at half value. Odd Block: Put spreads trade in AECOM Technology Corp (ACM), puts trade in Babcock and Wilcox Co. (BWC), and puts trade in Frontier Communications Corp. (FTR) Mail Block: Listener questions and comments Question from Larry Sanders - Hey crew min...
Oct 10, 2014•59 min
Option Block 377: Covering The Cost of Your Put Trading Block: A mild day on the street. The dollar weakened the most in six months, dropping from a four-year high. U.S. stocks fell, with the Standard & Poor’s 500 Index retreating after touching its average price for the past 50 days, as small-cap shares resumed a selloff following a fifth weekly decline. Beginning Monday, October 6, 2014, CBOE will calculate the spot value of the CBOE Volatility Index (VIX) using S&P 500 Index (SPX) opt...
Oct 07, 2014•51 min
Option Block 376: Rebar and Rapeseed - the Stealth Titans Trading Block: Another selloff - pulling ever farther away from the 2000 level. VIX Cash moving into the high teens. OCC announced today that total cleared contract volume in September reached 371,034,038 contracts. It’s time for the global futures and options guessing game! Odd Block: Calls trade in RF Micro Devices (RFMD), puts roll in SPDR S&P Oil and Gas Exploration ETF (XOP), and calls roll down in Toll Brothers Inc. (TOL) Mail B...
Oct 03, 2014•52 min
Option Block 375: How to Hedge Your 401K Trading Block: Alibaba options active in U.S. trading debut. OCC and U.S. options exchanges announce new risk control standards to strengthen industry protections. ISE Holdings files for third exchange license to launch ISE Mercury. Odd Block: Fun and unusual trading activity in TTPH, MX, and TAP. Strategy Block: Uncle Mike discusses how to hedge a 401k or other retirement accounts? Around the Block: Hong Kong: how much can it impact the market?...
Sep 30, 2014•57 min
Option Block 374: When To Exercise An Option...Never Trading Block: An aggressive selloff in the market today. VIX up 3 handles - about 22%. Apple off 3%. Nike, the other big player in the market today - up about $4. Odd Block: Calls and puts trade in EXH- looks like a straddle seller, puts close in KO- could be a put closer but not rolling, and calls trade in PBF- existing roll for calls Mail Block: Listener questions and comments Question from Sinclair - What do the all stars expect for the bi...
Sep 26, 2014•59 min
Option Block 373: Talking BABA, YHOO, AAPL and more Trading Block: A sea of red on the street today. Bad news out of China. Apple announced opening weekend iPhone 6 sales were over 10 million. Alibaba I.P.O. underwriters increased deal size to a record-setting $25 billion. Yahoo options went bonkers on Friday. Odd Block: Puts roll in Cliffs Natural Resources Inc. (CLF) risk reversal goes up in iShares Russell 2000 Growth Index (IWO), and call buyers in Shares of Global X Social Media Index ETF (...
Sep 23, 2014•58 min
Option Block 372: Call Stupids and Bond Hedges Trading Block: Alibaba IPO on Friday. Fed Meeting on Wednesday. Scots vote whether or not to stay in UK. Odd Block: Calls trade in Energy Transfer Partners (ETP) ratio spreads in Petroleo Brasilieiro Petrobras (PBR), put buyers jump into PDL Biopharma Inc. (PDLI). Mail Block: Listener questions and comments Question from Lawrence Silverberg - Hi! “Doctor Larry” back again. Thanks for reading and answering my previous two questions / comments on the ...
Sep 19, 2014•1 hr
