Hot Option Plays: Volatility Crush
Cusick’s Corner 04-25-2012 Apple beats — stock runs up $50 (NASDAQ:AAPL), and volatility as I discussed yesterday was crushed. Volatility on AAPL weekly options was cut in half, from 80 down to 40, and May volatility dropped 19%. For sellers of premium this is a potential gift because the options they sold went down. Buyers [...]
Cusick’s Corner 04-25-2012
Apple beats — stock runs up $50 (NASDAQ:AAPL), and volatility as I discussed yesterday was crushed. Volatility on AAPL weekly options was cut in half, from 80 down to 40, and May volatility dropped 19%. For sellers of premium this is a potential gift because the options they sold went down. Buyers of options who were not aware of the high volatility may have some remorse. This is an example of how much volatility can impact the premium of an option and why we need to be … [visit site to read more] or compare Credit Card Rewards and Best Credit Cards