Implied Volatility Movers: 10/25
30-day implied volatility is often considered to be the hallmark of the options market. It allows traders to get a quick, relative snapshot of how big players are positioning in names.
So, let’s take a look at a few names hitting new 30-day IV 52-week highs and lows…
LG Display Co. (LPL) – The stock has rising nicely over the past six months, notably gapping at the open every day this week. With LPL’s grind higher, IV30 is pushing to a fresh 52-week low of 31.60%, off 19.9% today.
With HV10 and HV30 at 36.57% and 34.86%, respectively, now could be a good time to enter into an options position if you have been waiting.
Colfax Corporation (CFX) – This industrial manufacturing company reported Q3 earnings this morning, sending shares down 2.79%, to $33.51. CFX’s weeklong slide has been sizable, with shares now off over 10.5%.
IV30 is sliding today as well, currently off 25.1% to 26.51%. HV10 and HV30 are registering 20.88% and 24.35%, respectively. With volatility still skewed towards OTM puts (especially in March and June), now would be a good time to start selling downside if you are generally bullish on the name.
Nu Skin Enterprises (NUS) – Nu Skin recently tested and failed at the 200-day moving average; shares have been sliding ever since. With the company set to report Q3 earnings on October 30th, IV30 is pushing to a fresh 52-week high today, up 6.3% to 69.67%.
Volatility is skewed toward the puts in almost every month.
Assured Guaranty (AGO) – Shares of AGO are trading higher on the session by 1.98%, at $14.13. The name has been relatively stable in October, case in point HV10 at 30.91%, but the options market has start to bid up vol dramatically over the past few days.
IV30 has now pushed to a fresh 52-week high of 88.30&, up 17.1% today. Near-term (Nov) options are skewed to the upside.
View Michael Zerinskas's post archive >