Us Stock Intelligence Agent | Eli, Rachel
The trading volume in the options market reached 53.9 million contracts on Wednesday, 28% higher than the previous average, of which the subscription volume was slightly higher than the sell volume (10:7). Futures index products and ETF trading volume is relatively high, while a single stock flow is moderate.
The most active plates includeBasic materials, industrial and financial sectors而Public utilities and medical sectorTrading volume is relatively calm. Of the 3813 stocks with only listed options, 690 (18 per cent) closed up and 3023 (79 per cent) closed down. Among the 500 stocks with the highest liquidity, 343 have higher implied volatility and 95 have lower implied volatility on the 30th. The stocks that have detected transaction changes include:$Vale SA (VALE.US) $, $General Electric Co (GE.US) $, $Rocket Companies (RKT.US) $, $Exxon Mobil Corp (XOM.US) $和$Snowflake Inc (SNOW.US) $等。
Review of views this week
Us debt storm is not over, bulls are weak to rebound(Monday): overall, there were still some noteworthy buyer operations in the options market last Friday, but its momentum was not enough for Sister Hua's team to track and start building their own positions.
Gamma exposure bottom up, institutions focus on speculation or turnaround?(Tuesday): the possible script now is: if the momentum can be recognized by "real" buyers in the market, then even if the market stagnates at a short-term high, we can still see institutions continue to attack major pullbacks and some lagging targets in the market. Second, there was a sense of hedge fund buying in the market on Monday, just as in the early stages of the bull market, major market participants smelled blood and used money to support the rapid stabilization of the market.Assuming that they are already involved, as long as they continue to increase their exposure and get deeper and deeper in the follow-up market, they will instantly change the market (institutions turn short).. So here, Sister Hua will continue to pay close attention to the main sweeping activities of market institutions and judge whether the next player to pick up the momentum is a weak or a strong one to add to the future pricing trend of the market.Especially before the Fed narrowed the trend of monetary easing in the middle of the year.）
Institutional hedging is ready, systemic risk is not present.(Wednesday): bond yields fell further yesterday, although they are still above their previous highs after an upward breakthroughRumors of fiscal stimulus cuts in the Senate this week may have had a slight impact.S & P 500 volatility Index (.VIX.US) $Maintained at a level above 20.S & P 500 ETF-SPDR (SPY.US) $The buying position on the PUT side of the option chain continues to appear.In other words, the institution has already made the necessary hedging.
A phased bear market is just around the corner? The share of ETF transactions in the market continues to rise.(Thursday): in addition to the continued efforts around the concept of economic restart, such as$Tektronix Resources Limited (TECK.US) $, $Amiris Inc. (AMRS.US) $In this way, there have also been some changes in the bulk of the small market.But Sister Hua believes that this situation may change eventually, because the market still has the risk of concussion and downside in the short term.In particular, if high-growth technology targets continue to be sold off by institutions, then institutional long exposures are likely to face the need to sell these profit targets to fill the margin exposure of their high-growth side layout.The market has always been resonant, that is, if market sentiment as a whole continues to fall with the index, no stock can avoid systemic risk, we will usher in a stage of bear market.
So when will the current concussion market end? We can only say that there is no comment. At present, the organization has not shown any interest in the extreme decline of high-growth technology companies.Only selectively intervened in the short-term intraday rebound opportunity.。
March 4th ETF options change in the market
Changes in individual stock options in various sectors on March 4
Science and technology stock
Industrial stock
Cyclical consumer stock
Financial stocks
Communications Unit
Medical and Health Unit
Energy stocks
Real estate stock
Building Materials Unit
Defensive consumer stock
Public utilities unit
The option tool is flexible and easy to use, and it is considered to be the most perfect trading tool in the financial market so far. small funds can quickly accumulate wealth through accurate judgment using non-linear leverage. large funds can achieve stable returns through the comprehensive application of multiple strategies across bull-bear and shock markets. But we also need to see the buyer's risk of options (ordinary investors are careful to be sellers of options, with limited returns and unlimited losses):
1. Nonlinear huge leverage will suffer huge losses if it is faced with going in the wrong direction.
2. Volatility drops, and the other side may lose money.
3. The state of mind is easy to be out of balance with big fluctuations. :
4. Time is the enemy of option buyer.
5. Stock thinking is serious. Stock thinking is just want to do long, will not short, fall more want to bottom, trap, ignore and so on rebound, and even some people add positions to lower costs, the result is deeper and deeper to zero. If you don't change your mind, it's dangerous to make options.