Futures: Not All Price Series Are the Same!
If you are trading futures, you should know something important. Continuous futures price series may vary between sources and cause misleading analysis. The culprit here ...
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Blogs
Election Volatility: Insights Across Markets
October 23, 2020The volatility complex has clearly priced the 2020 Presidential Election as a major risk event. Speculation on contested elections, a blue senate flip, and another stimulus agreement have made hedging November volatility a pricey endeavor. This is captured by the ...
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The Put/Call Demand Ratio: Surpassing P/C Volume
August 24, 2020With the rapid growth of the options market, the Simple Put/Call Ratio has become a staple technical indicator. Simply dividing total put volume by total call volume allegedly provides miraculous insights into investor sentiment, or so it goes. But, the ...
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Wells Fargo: Sizing Up the Implied Dividend Cut
July 8, 2020On June 25th, the Federal Reserve released results of its 2020 stress test for banks. New guidelines were published forcing banks to halt buybacks and reduce dividend payouts. As a result, Wells Fargo (WFC) will have to cut its dividend, ...
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Extraordinary Times for the Variance Risk Premium
June 9, 2020The S&P 500 has clawed back nearly all its losses since hitting its COVID-19 induced low late March. This remarkable rally of over 40% is historical considering it also ranks as one of the best 50-day runs of all time. ...
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Tail Risk in the Energy Sector
May 4, 2020The energy sector has been hammered in the combined wake of OPEC’s failed output deal and plummeting demand for oil as a result of Covid-19. Oil futures have gone negative, to establish a whacky super contango precedent. This crash in ...
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Gamma Traps and Dealer Imbalances
April 22, 2020The market has seen some wild moves over the last month, which has drawn parallels only to the price action at the onset of the Great Depression. Several pundits are willing to blithely attribute this environment to some form of ...
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