Pre-Market IV Report February 3, 2020

Pre-Market IV Report February 3, 2020

The following report is a snapshot of noteworthy changes in stock and option volumes, as well as changes in option implied volatilities. By monitoring this market data, traders can create strategies that capitalize on this often over looked information.

Options with increasing option implied volatility: GOOG GOOGL SYY CMG GILD DIS TUP NTNX ATNX W FL BBY THC HTZ LK ZGNX TUP S SWN F KHC TWTR XLI XLY UAL FXI

Options expected to have increasing volume: GOOG GOOGL CMG COP CLX GILD RL F DIS SIRI MRK GM GRUB SPOT PTON

Apple (AAPL) to close all China mainland stores due to coronavirus outbreak, APPL suppliers

Apple Inc. (AAPL) 30-day option implied volatility is at 32, compared to its 52-week range of 18 to 35 into Apple to close all China mainland stores due to virus outbreak.

STMicroelectronics NV (STM) 30-day option implied volatility is at 37; compared to its 52-week range of 27 to 53 into Apple (AAPL) to close all China mainland stores due to coronavirus outbreak.

NXP Semiconductors (NXPI) 30-day option implied volatility is at 39; compared to its 52-week range of 25 to 45 into Apple (AAPL) to close all China mainland stores due to virus outbreak.

ON Semiconductor (ON) 30-day option implied volatility is at 46; compared to its 52-week range of 30 to 56 into Apple (AAPL) to close all China mainland stores due to coronavirus outbreak.

The coronavirus outbreak

iShares China Large-Cap (FXI) 30-day call option implied volatility is at 28; compared to its 52-week range of 15 to 28 into Apple (AAPL) to close all China mainland stores due to coronavirus outbreak.

Db X-trackers Harvest Csi 300 China A – Shares Fund (ASHR) 30-day call option implied volatility is at 33; compared to its 52-week range of 17 to 36

Travel stocks; coronavirus outbreak

Huazhu Group (HTHT) February call option implied volatility is at 47, March is at 46; compared to 52-week range of 33 to 62

Marriott (MAR) February weekly call option implied volatility is at 31, February is at 31; compared to its 52-week range of 17 to 35

Hilton (HLT) February call option implied volatility is at 33, March is at 30; compared to its 52-week range of 18 to 31

Royal Caribbean Cruises (RCL) February weekly call option implied volatility is at 41, February is at 36; compared to its 52-week range of 20 to 39

Carnival Cruise Lines (CCL) January weekly call option implied volatility is at 34, February is at 31; compared to its 52-week range of 18 to 36

Norwegian Cruise Line (NCLH) February call option implied volatility is at 35, March is at 33; compared to its 52-week range of 20 to 40

Straddle prices for stocks expected to report quarterly results next week

Alphabet (GOOG) February weekly 1435 straddle priced for a move of 5.5% into the expected release of quarter results today after the bell

8×8 (EGHT) February 20 straddle priced for a move of 15% into the expected release of quarter results after the bell on February 4

Centene (CNC) February weekly 63.50 straddle priced for a move of 8% into the expected release of quarter results before the bell on February 4

Chipotle (CMG) February weekly 865 straddle priced for a move of 7% into the expected release of quarter results after the bell on February 4

Chubb (CB) February 150 straddle priced for a move of 4.5% into the expected release of quarter results after the bell on February 4

Clorox (CLX) February weekly 155 straddle priced for a move of 3.5% into the expected release of quarter results before the bell on February 4

ConocoPhillips (COP) February weekly 59.50 straddle priced for a move of 4% into the expected release of quarter results before the bell on February 4

Cummins (CMI) February weekly 165 straddle priced for a move of 5% into the expected release of quarter results before the bell on February 4

Ferrari (RACE) February weekly 170 straddle priced for a move of 5.5% into the expected release of quarter results on February 4

Ford (F) February weekly 9 straddle priced for a move of 6% into the expected release of quarter results on February 4

Genworth (GNW) February weekly 4 straddle priced for a move of 5% into the expected release of quarter results after the bell on February 4

KLA (KLAC) February weekly 165 straddle priced for a move of 6.5% into the expected release of quarter results after the bell on February 4

McKesson (MCK) February weekly 142 straddle priced for a move of 5.5% into the expected release of quarter results before the bell on February 4

Ralph Lauren (RL) February weekly 113 straddle priced for a move of 7.5% into the expected release of quarter results before the bell on February 4

Royal Caribbean (RCL) February weekly 117 straddle priced for a move of 6.5% into the expected release of quarter results before the bell on February 4

Seagate (STX) February weekly 57 straddle priced for a move of 7% into the expected release of quarter results before the bell on February 4

Sirius XM (SIRI) February weekly 7% straddle priced for a move of 4.5% into the expected release of quarter results before the bell on February 4

Snap (SNAP) February weekly 18 straddle priced for a move of 12% into the expected release of quarter results before the bell on February 4

Walt Disney (DIS) February weekly 138 straddle priced for a move of 5% into the expected release of quarter results before the bell on February 4

Peloton (SNAP) February weekly 32 straddle priced for a move of 14% into the expected release of quarter results after the bell on February 5

Qualcomm (QCOM) February weekly 85 straddle priced for a move of 6% into the expected release of quarter results after the bell on February 5

Traditionally, the ratio of copper prices to gold is held to be a good measure of the industrial and business cycle. When copper is strong compared to gold, people are optimistic about the economy; when copper is cheap, it implies concerns for the future. The copper/gold ratio is now close to its lowest in several decades.

Option Implied Volatility for Resource stocks as industrial commodity and energy prices trend lower amid China virus

Freeport-McMoran (FCX) 30 day option implied volatility is at 44; compared to its 52-week range of 35 to 52 as industrial commodity and energy prices trend lower amid China virus.
Southern Copper (SCCO) 30 day option implied volatility is at 34; compared to its 52-week range of 23 to 40
Vale S.A. (VALE) 30 day option implied volatility is at 43; compared to its 52-week range of 27 to 48
Rio Tinto plc (RIO) 30 day option implied volatility is at 31; compared to its 52-week range of 21 to 37
BHP Billiton Ltd. (BHP) 30 day option implied volatility is at 29; compared to its 52-week range of 19 to 36
Market Vectors Gold Miners ETF (GDX) 30 day option implied volatility is at 26; compared to its 52-week range of 21 to 36.

Options with decreasing option implied volatility: DLPH EXTR ALGN CRUS TSLA CREE EBAY HSY GE FDX XLNX MDLZ BBBY
Increasing unusual call option volume: FOLD CVE TEL YANG INDA IEF FLEX
Increasing unusual put option volume: AAN INDA IBKR CHKP APTV BG
Popular stocks with increasing unusual: IBM DIS BYND LK
Active options: AAPL TSLA AMZN LK FB AMD MSFT ROKU GE BABA NIO T MU DIS IBM BAC V INTC BYND NFLX

Global S&P Futures are recently up 15.05 from previous day. Nikkei 225 down 1%, DAX up 0.3%, WTI Crude oil is recently at $51.53, natural gas up 1.7%, gold at $1581 an ounce