April reporting season

Discussion in 'Options' started by IV_Trader, May 24, 2025.

  1. TheBigShort

    TheBigShort

    what was the GAP trade?
    Yea this ZS low pretty striking. I think the lowest implied move print was 8% as you mention. Marks are coming back now. Was down quite a bit this morning.

    Screenshot 2025-05-28 at 6.49.45 PM.png
     
    Last edited: May 28, 2025
    #21     May 28, 2025
  2. GAP- went long 27.5 straddle at 12.4% Implied, closed at 12.7% + scalping profits.

    Made 40 cents per straddle; not bad for low nominal stock.

    I know folks here don't like the "risk free trade" phrase, but in hindsight it ended up being one.
     
    #22     May 28, 2025
  3. ZS implied move is low but has been consistently low for last two weeks. I just looked and my code picked up the max allocation for ZS but even if we are lucky the implied move might touch mid 7s. It's a similar story with NVDA, the move has been ranging between 6-7% for past week+. I'm skeptical it breaks 7%. Market rejected 6.8% this AM and much of the spike looks like beta.

    Earnings vol has been a very tough trade recently.
     
    #23     May 28, 2025
  4. TheBigShort

    TheBigShort

    interesting take. When do you start buying the event vol? Are you momentum based?
     
    #24     May 28, 2025
  5. I try to use both momentum and absolute levels. I was referring to the straddle price pre-earnings remaining sub 7% in case that wasn't clear. By your risk figs I assumed that was your main trade.
     
    #25     May 28, 2025
  6. TheBigShort

    TheBigShort

    I sometimes hold the low absolute figures through like UNH. I’ll be carrying 250k theta in ZS tomorrow if we don’t bid.
     
    #26     May 28, 2025
  7. I cannot figure out CRWD.

    Reporting (apparently) this week but still no confirmation.

    IF stock's report date is this week, then 6/6 vs. 6/20 ratio is not normal, imo. Back is 50% more!

    So... maybe a chance that stock will NOT report this week?
     
    #27     Jun 2, 2025
  8. #29     Jun 2, 2025
  9. newwurldmn

    newwurldmn

    would it be better to just be long the 6/6?
    I haven’t looked at it but short calendars are capped in their pnl so the spread as to be ludicrous (unless you are trading for implieds)
     
    #30     Jun 2, 2025