Pre-Market IV Report May 16, 2019

Pre-Market IV Report May 16, 2019

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 overlooked information.

Options with increasing option implied volatility: LULU ONCE KHC CLDR S NIO CPRI HIIQ WMT AMAT OSTK HOME KTOS

Options expected to have increasing volume: UBER WMT AMAT DE CSCO NTES JACK DDS ROKU PINS LYFT UBER MU AMD STX NVDA AVGO

S&P Dep Receipts (SPY) May call option implied volatility is at 18, June is at 15; compared to its 52-week range of 9 to 32 as US Equity markets continue to react to President Trump’s spoken and tweeted messages regarding global trade negotiations. The Group of 20 summit in Osaka late next month.

Lyft (LYFT) May call option implied volatility is at 72, June is at 56; compared to its 4-week range of 49 to 79 into Uber (UBER) options expected to begin trading Thursday.

Starbucks (SBUX) May call option implied volatility is at 20, June is at 19; compared to its 52-week range of 15 to 38 into Luckin (LK) IPO.

Straddle prices for stocks expected to report results this week

Walmart (WMT) May 100 straddle priced for move of 4% into the expected release of release of EPS today before the bell
iQIYI (IQ) May 20.50 straddle priced for move of 10% into the expected release of release of EPS after the bell on May 16
NVIDIA (NVDA) May 160 straddle priced for move of 8% into the expected release of release of EPS after the bell on May 16
Deere (DE) May 145 straddle priced for move of 4.5% into the expected release of release of EPS before the bell on May 17
Riot Blockchain (RIOT) May 4.5 straddle priced for move of 13% into the expected release of release of EPS before the bell on May 17

Overstock.com (OSTK) May call option implied volatility is at 130, June is at 88; compared to its 52-week range of 62 to 138 after shares sold off.

At Home Group (HOME) May call option implied volatility is at 87, June is at 45; compared to its 52-week range of 37 to 93 after Reuters reported Kohl’s (KSS) has approached At Home Group to express interest in acquiring.

Kratos Defense (KTOS) May call option implied volatility is at 37, June is at 38; compared to its 52-week range of 28 to 74. Call put ratio 24 calls to 1 put with focus on June 17.50 and 20 calls active.

Coty (COTY) May call option implied volatility is at 67, June is at 43; compared to its 52-week range of 28 to 89. Call put ratio 1.9 calls to 1 put with focus on May 15 calls.

T-Mobile (TMUS) May call option implied volatility is at 14, June and August is at 28; compared to its 52-week range of 18 to 38. Call put ratio 28 calls to 1 put with focus on August 82.5 and 85 calls.

Vehicle option implied volatility is flat to low after reports the Trump administration plans to delay auto tariffs by up to six months

General Motors (GM) 30-day option implied volatility is at 25; compared to its 52-week range 20 to 46
Ford (F) 30-day option implied volatility is at 27; compared to its 52-week range 19 to 55
Toyota Motor (TM) 30-day option implied volatility is at 18; compared to its 52-week range 13 to 28
Tesla (TSLA) 30-day option implied volatility is at 45; compared to its 52-week range 39 to 87

Increasing unusual option volume: KSA ODFL WES EWA SAP EGHT A KTOS OPK NAV HOME OSTK
Increasing unusual call option volume: WES KSA TMUS EGHT TM KTOS A
Increasing unusual put option volume: ODFL EGHT EWA OPK GSKY EAT BGS GERN A VIPS
Popular stocks with increasing unusual: BYND M DIS TEVA ACB TMUS HOME OSTK
Options with decreasing option implied volatility: JMIA FGEN GPRO ETSY PRTY FOSL YELP MYL STMP ROKU
Active options: AAPL BABA BAC FB TSLA CVX AMD AMZN MSFT CSCO NFLX NVDA TEVA WMT DIS GE BA ACB BYND M