Trade Alert

Discussion in 'Options' started by ajacobson, Jun 2, 2020.

  1. ajacobson

    ajacobson

    Bought by CBOE.

    Kudos Henry!
     
    guru and Atikon like this.
  2. Atikon

    Atikon

    Those guys you recommended a while back :) . Hope their pricing stays somewhat the same.
     
  3. ajacobson

    ajacobson

    Logically their price should decline as(IMHO) one of their biggest expenses should have been data. I have a call into them, but it was after the close. I suspect they will integrate them into Henwick - which CBOE also owns.
     
    Atikon likes this.
  4. qlai

    qlai

  5. ajacobson

    ajacobson

    Make or buy decision - cheaper to buy IMHO.
     
  6. qlai

    qlai

    But I am curious, as a user, do you see anything proprietary in their service? Let’s say I subscribe to full OPRA feed(understood it’s a challenge in itself), would I be able to generate the alerts you are subscribing to?
     
  7. ajacobson

    ajacobson

    I've always thought raw options data doesn't do much for - especially post QQC and 16 exchanges. It's the analysis and networking that is a big part of the value equation. Plus you are going to need all of the exchange feeds on stock and futures.
     
  8. qlai

    qlai

    CBOE bought LiveVol and then dumped most of it, but my understanding is that they kept some proprietary data set(s).
    Screenshot 2020-06-02 at 7.50.13 PM.png
     
  9. ajacobson

    ajacobson

    They also bought Henwick and now TA.
     
    Last edited: Jun 2, 2020
  10. Matt_ORATS

    Matt_ORATS Sponsor

    I know Henry well and the company too. I also know the Cboe, having traded there for many years.

    Trade-Alert (TA) has a bunch of proprietary calculations that would take years to replicate. For the Cboe this was a good add to their stable. They could not have recreated what TA does with any cost effectiveness.

    TA has very sophisticated models that quickly digest and communicate what is happening in the options trading. Henry has his ear to the market and a great clientele that helps his offering. TA is able to piece together complex trades on many different exchanges and make sense of them. They are able to posit if a trade is a sweep, what the IV was, what the market maker edge was, and if paper was buying or selling. They are able to track down when the open interest spiked through insightful charts and bring a good understanding of the trading environment for a name.

    TA used FT theoreticals and Cboe recently purchased that firm too.

    Henry has become known for his ability to summarize and communicate what is happening in the macro options market. He often speaks at events. With his and TAs unique perspective, Henry is able to slice and dice the market like no other.

    His position: Sr. Director, Head of Product Intelligence, Information Solutions Group at Cboe Global Markets

    Few if any in the options industry is more well liked and respected as Henry and I wish him the best.

    I have lifted the table below from his website.
    • Unlimited Real-Time Alerts via IM and web
      • Option blocks, sweeps
      • Unusual volume conditions
      • Multi-leg complex orders
      • Expert market color and floor shows
      • Underlying blocks tied to options
      • Implied volatility changes
      • Market moving headlines
      • 13F Option position disclosures
      • Halts, pauses, and short sale restrictions
    • On-Demand Flow Recaps
      • By group, sector, ticker, basket, contract
      • Real-time, historical, multiday
      • Quantitative analysis and Qualitative information
      • Open Interest Analytics
      • Life-to-date contract history
      • Earnings analysis
      • Baseline comparison
    • Extensive Customization
      • Trigger based on size, impact, direction
      • Individualized scope and content
      • 50+ available data fields on every trade
      • Integrated FT Options theoretical values
    • Option Data Visualization
      • Multi-year daily option flow
      • Volatility term structure
      • Stock-loan ‘borrow’ rates
      • Open interest and more
     
    #10     Jun 2, 2020