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Senior Contributor
ShelladyOptions
Posts: 786
Registered: ‎05-03-2010
0

OptionEye.....April 24th

Good morning.

 

Yesterday's action with the twitter hacking was a stark reminder of how skittish the world has become and how overrun with algorithmic computer programs our business has become.

 

Corn unchanged to slightly easier. Wheat is down 3 and soybeans are the darling this morning, up 4 in the front.

 

Gold holding in there at $1421 which is up about $8.00 and oil is up .42 cents.

 

The 10 year yield has climbed to 1.716% and the Euro is still stuck at 1.30.

 

The weather here is terrible and we have entered the wettest April since records began for Chicago. It doesn't help that the temperatures have been cold as well. Where oh where is the sun?!

 

I can't stress how bearish the trade has become. Really only hearing about put buyers and put spread buyers. The trade de jour is the Dec 5.00/4.50 put spread being purchased every day by someone new. Funny how the crop isn't even in the ground yet and these people say we have a bin buster. I guess that is what you get when you spray computer screens far and wide in the search for volume. Better be careful what you wish for.

 

Go get 'em.

Advisor
time:thetippingpoint
Posts: 469
Registered: ‎05-20-2010
0

Re: OptionEye.....April 24th

[ Edited ]

So Scott...what would be a good option way to play the other side of computer driven bearishness right now.

Say for a 3 week swing back to neutral psychology and thus neutral computer screens. TIA

 

Senior Contributor
ShelladyOptions
Posts: 786
Registered: ‎05-03-2010
0

Re: OptionEye.....April 24th

In the equity world, you could leave resting bids for call options way underneath the market or buy the VIX index ourtright. I am amazed that the move is all we talk about. There had to be some bloody stories on that move yesterday. UGLY. Not good for the market AT ALL.

Senior Contributor
NDf
Posts: 323
Registered: ‎05-13-2010
0

Re: OptionEye.....April 24th

Scott if the trade is as bearish as you say the contrarian in me says buy if not futures at least calls. The July calls seem cheap to me.

Veteran Advisor
Mizzou_Tiger
Posts: 2,183
Registered: ‎11-02-2010
0

Re: OptionEye.....April 24th

[ Edited ]

yesterday was a joke and explainable

 

this is what you should be worried about or positioned for :smileyhappy:

 

that day was a good day, rode it down and then back up

 

http://www.youtube.com/watch?v=E1xqSZy9_4I

 

http://www.youtube.com/watch?v=86g4_w4j3jU

 

 

 

 

Senior Contributor
425Cat
Posts: 1,177
Registered: ‎05-14-2010
0

Re: OptionEye.....April 24th

Sell em the puts

Veteran Advisor
ECIN
Posts: 1,743
Registered: ‎10-17-2012
0

Re: OptionEye.....April 24th

Hey Scott -- I'm fixing Popcorn --- you want a bag of Good ole Indiana P-corn ?

Senior Advisor
Hobbyfarmer
Posts: 3,320
Registered: ‎01-10-2012
0

Re: OptionEye.....April 24th

Hey how did you get that smell to come through the computer?

60% of the time, it works every time.


"Political correctness is a doctrine, fostered by a delusional, illogical minority, and promoted by mainstream media, which holds forth the proposition that it is entirely possible to pick up a piece of dung by the clean end."
Veteran Advisor
ECIN
Posts: 1,743
Registered: ‎10-17-2012
0

Re: OptionEye.....April 24th

The same way YOU do when I'm talking to you on the phone and YOUR wife is bakeing them fresh picked blackberrys !

Senior Advisor
sw363535
Posts: 4,011
Registered: ‎07-18-2011

Re: OptionEye.....April 24th

You guys just explained the the futures traders reality--------------------- "There doesn't have to be a bumper crop or even the chance of a bumper crop--------- all you need is the suggestion of a bumper crop, and you can smell it as far away as USDA."

sw