The Last Chance to Buy Vol

Andrew Giovinazzi

Yo Pit Crazies,

Market rifts tanked vol into the close Friday. I bought some SPDR S&P 500 Trust (Ticker: SPY) strangles Thursday in the Pro session and had an easy call close early Friday.

Did I take it? No, I set a lower stop on the calls looking for a 1% run in SPY. My strangle is in ruins as Friday came to a close – well .40 per strangle, so not dead but not great. But the vol crush was a surprise.

SPX Jul, Aug and Sep IVs on a 30 day chart.

And that happens … however, we’re gonna see some selling in Big Tech next week.

So what should you do about it?

Buy More Juice

Juice just means option premium. Juice is what traders sold. When the premium was juicy, it was elevated. I don’t think that’s the case right now. I’ll add some more SPY strangles on Monday.

The QQQ has to do the 3 Card Monte, and something is going to move.