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Seth Golden posted an update 6 years, 8 months ago
While most asset classes are getting hit hard today, on a positive note, this may prove an advantageous set-up going into Wednesday’s Fed press conference and rate hike. Possibly baking in a hawkish tone ahead of the announcement and press conference.
Hi Seth,
What would be a good strategy to take advantage of this? Wait till wed to short vol, or start now?
Thx
Down nearly 2% on the major averages with VIX up more than 20% intraday, best to wait for things to level out before dedicating any capital. @lasa
Hi Seth, I watched your interview with David Lincoln. I wondered if you could go into a little more detail on how you evaluate the S&P options. Since I am new to volatility, I understand you were discussing out of the money options at future months. This is to get some idea of perhaps how volatility may be perceived. I wondered if you could go into a little detail on how you actually look at a screen and what you are looking for in terms of out of the money options as accrued predictor of volatility.
Thanks
I’m looking at mid month and first set of option strikes for the first week of the following month. Then I’m looking for volume, the only true indicator is volume. But keep in mind just because there is volume and just because strikes are OTM showing expected declines, doesn’t mean they will be right or just a hedge. Volume first and foremost.