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Post by sla55 on Jun 17, 2017 20:11:53 GMT -5
finance.yahoo.com/news/options-market-predicting-spike-mannkind-124712897.htmlInvestors in MannKind Corporation MNKD need to pay close attention to the stock based on moves in the options market lately. That is because the July 21st, 2017 $4.00 Put had some of the highest implied volatility of all equity options today. What is Implied Volatility? Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy. What do the Analysts Think? Clearly, options traders are pricing in a big move for MannKind shares, but what is the fundamental picture for the company? Currently, MannKind is a Zacks Rank #2 (Buy) in the Medical - Biomedical and Genetics industry that ranks in the Bottom 38% of our Zacks Industry Rank. Over the last 30 days, no analysts have increased the earnings estimates for the current quarter, while one analyst has revised the estimate downward. The net effect has taken our Zacks Consensus Estimate for the current quarter from a loss of 23 cents per share to a loss of 25 cents in that period. Given the way analysts feel about MannKind right now, this huge implied volatility could mean there’s a trade developing. Often times, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected.
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Post by mnkdfann on Jun 17, 2017 20:41:28 GMT -5
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Post by sportsrancho on Jun 17, 2017 21:17:29 GMT -5
I don't see anything about the 4 dollar put that looks different. More open interest in the 3's.
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Post by peppy on Jun 17, 2017 21:27:33 GMT -5
finance.yahoo.com/news/options-market-predicting-spike-mannkind-124712897.htmlInvestors in MannKind Corporation MNKD need to pay close attention to the stock based on moves in the options market lately. That is because the July 21st, 2017 $4.00 Put had some of the highest implied volatility of all equity options today.
What is Implied Volatility? Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy. What do the Analysts Think? Clearly, options traders are pricing in a big move for MannKind shares, but what is the fundamental picture for the company? Currently, MannKind is a Zacks Rank #2 (Buy) in the Medical - Biomedical and Genetics industry that ranks in the Bottom 38% of our Zacks Industry Rank. Over the last 30 days, no analysts have increased the earnings estimates for the current quarter, while one analyst has revised the estimate downward. The net effect has taken our Zacks Consensus Estimate for the current quarter from a loss of 23 cents per share to a loss of 25 cents in that period. Given the way analysts feel about MannKind right now, this huge implied volatility could mean there’s a trade developing. Often times, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected. look at the dates. implied volatility , heh
The interim VA agreement expired, and a formal agreement is in place until 2022.
Read more: mnkd.proboards.com/thread/6896/mannkind-gets-interim-va-agreement?page=3#ixzz4kJj9gZ00
Reversed and advertising around our corner. We got to get the advertisements and reversed to the vets. You guys, Mike C has done it.
www.va.gov/nac/Search/Details/V797D-70177
s3.amazonaws.com/public-inspection.federalregister.gov/2017-12411.pdf
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Post by bones1026 on Jun 17, 2017 21:37:59 GMT -5
I don't see anything about the 4 dollar put that looks different. More open interest in the So what is the payout possibities on a $4.00 put? Not really savy in put/options |
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Post by peppy on Jun 17, 2017 21:47:01 GMT -5
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Post by mytakeonit on Jun 17, 2017 21:50:16 GMT -5
Peppy ... I don't know what this chart means. Is it the green lines or the red lines that show when you get hot flashes?
LOL
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Post by peppy on Jun 17, 2017 21:55:40 GMT -5
Peppy ... I don't know what this chart means. Is it the green lines or the red lines that show when you get hot flashes? LOL www.youtube.com/watch?v=dsUXAEzaC3Q
I am feeling a bit peppyer!
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Post by lakon on Jun 18, 2017 2:56:52 GMT -5
Al Mann had and Kent Kresa has A LOT of government contracting experience, especially with the military (servicemen), many of whom are now veterans. I'm not sure about Mike C, but good execution by the entire MNKD Team. It looks like a standard 5 year USG contract... Oh, and I'll one up you: www.youtube.com/watch?v=4Aa9GwWaRv0It seemed appropriate. |
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Post by traderdennis on Jun 18, 2017 9:58:38 GMT -5
finance.yahoo.com/news/options-market-predicting-spike-mannkind-124712897.htmlInvestors in MannKind Corporation MNKD need to pay close attention to the stock based on moves in the options market lately. That is because the July 21st, 2017 $4.00 Put had some of the highest implied volatility of all equity options today. What is Implied Volatility?  Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up  soon that may cause a big rally or a huge sell off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy. What do the Analysts Think? Clearly, options traders are pricing in a big move for MannKind shares, but what is the fundamental picture for the company? Currently, MannKind is a Zacks Rank #2 (Buy) in the Medical - Biomedical and Genetics industry that ranks in the Bottom 38% of our Zacks Industry Rank. Over the last 30 days, no analysts have increased the earnings estimates for the current quarter, while one analyst has revised the estimate downward. The net effect has taken our Zacks Consensus Estimate for the current quarter from a loss of 23 cents per share to a loss of 25 cents in that period. Given the way analysts feel about MannKind right now, this huge implied volatility could mean there’s a trade developing. Often times, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected. SLA, this is a very bearish transaction. The trades occurred around 10-10:15 on June 14th at the ASK. It accounts for all of the open interest in this contract. I would theorize that since it is an in the money the purchaser is looking for a long term short. Whomever is the broker of the account who placed this trade now has until July 21st to secure 550K worth of short locates of MNKD or they could be placed on the fail to deliver list. I don't know what the implied volitility was at the time of trade, but according to the option chain, IV as of close on Friday has the July 3's at 172% which is the second highest of the IV for July 21st puts. Only the 4's are priced at an IV of 203. I am using IV mid (IV bid + IV ask)/2 . There is only 676 contracts for the July 4's. Bottom line is this Yahoo article is full of shit. Time and Sales MNKD July 21 Put 3 2017-06-14 |
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Post by agedhippie on Jun 18, 2017 10:30:06 GMT -5
I don't know what the implied volitility was at the time of trade, but according to the option chain, IV as of close on Friday has the July 3's at 172% which is the second highest of the IV for July 21st puts. Only the 4's are priced at an IV of 203. I am using IV mid (IV bid + IV ask)/2 . There is only 676 contracts for the July 4's. Bottom line is this Yahoo article is full of shit. Time and Sales MNKD July 21 Put 3 2017-06-14It's a Zacks article. You may as well just set fire to your money and cut out the middle man if you are following Zacks. |
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Post by straightly on Jun 18, 2017 10:54:20 GMT -5
finance.yahoo.com/news/options-market-predicting-spike-mannkind-124712897.htmlInvestors in MannKind Corporation MNKD need to pay close attention to the stock based on moves in the options market lately. That is because the July 21st, 2017 $4.00 Put had some of the highest implied volatility of all equity options today. What is Implied Volatility? Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy. What do the Analysts Think? Clearly, options traders are pricing in a big move for MannKind shares, but what is the fundamental picture for the company? Currently, MannKind is a Zacks Rank #2 (Buy) in the Medical - Biomedical and Genetics industry that ranks in the Bottom 38% of our Zacks Industry Rank. Over the last 30 days, no analysts have increased the earnings estimates for the current quarter, while one analyst has revised the estimate downward. The net effect has taken our Zacks Consensus Estimate for the current quarter from a loss of 23 cents per share to a loss of 25 cents in that period. Given the way analysts feel about MannKind right now, this huge implied volatility could mean there’s a trade developing. Often times, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected. "That is because the July 21st, 2017 $4.00 Put had some of the highest implied volatility of all equity options today" this option is so out of money, has 0 position, has 0 bid, and 0 ask. So everything adds up to a big zero. Sounds like a programming error of forgotten boundry check. |
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Post by traderdennis on Jun 18, 2017 11:28:37 GMT -5
finance.yahoo.com/news/options-market-predicting-spike-mannkind-124712897.htmlInvestors in MannKind Corporation MNKD need to pay close attention to the stock based on moves in the options market lately. That is because the July 21st, 2017 $4.00 Put had some of the highest implied volatility of all equity options today. What is Implied Volatility? Implied volatility shows how much movement the market is expecting in the future. Options with high levels of implied volatility suggest that investors in the underlying stocks are expecting a big move in one direction or the other. It could also mean there is an event coming up soon that may cause a big rally or a huge sell off. However, implied volatility is only one piece of the puzzle when putting together an options trading strategy. What do the Analysts Think? Clearly, options traders are pricing in a big move for MannKind shares, but what is the fundamental picture for the company? Currently, MannKind is a Zacks Rank #2 (Buy) in the Medical - Biomedical and Genetics industry that ranks in the Bottom 38% of our Zacks Industry Rank. Over the last 30 days, no analysts have increased the earnings estimates for the current quarter, while one analyst has revised the estimate downward. The net effect has taken our Zacks Consensus Estimate for the current quarter from a loss of 23 cents per share to a loss of 25 cents in that period. Given the way analysts feel about MannKind right now, this huge implied volatility could mean there’s a trade developing. Often times, options traders look for options with high levels of implied volatility to sell premium. This is a strategy many seasoned traders use because it captures decay. At expiration, the hope for these traders is that the underlying stock does not move as much as originally expected. "That is because the July 21st, 2017 $4.00 Put had some of the highest implied volatility of all equity options today" this option is so out of money, has 0 position, has 0 bid, and 0 ask. So everything adds up to a big zero. Sounds like a programming error of forgotten boundry check. These was a large trade in the $3 put, so I assume that is what they were looking at. I forgot to add that this purchaser also bought an equal amount of $3 July 21 calls as a hedge. If I was long MNKD from post reverse split sitting on profits this transaction is very scary to me. The put purchaser risking a million dollars and their potential profit is only 700K if the company stock goes down to zero. Once July 21st hits, the trader will start to get hit with a large interest payment on the short and the calls would need to be rolled for their hedge. |
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