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Nasdaq 100 Futures - Jun 24

CME
Currency in USD
Disclaimer
17,836.75
+269.25(+1.53%)
Closed

Nasdaq 100 Futures Discussions

Any of you that think this recovers tomorrow are severely lacking in fundamentals. After earnings IV contracts and prices go down. Hence why no one ever bag holds options through earnings, much less futures lol. I don't mind bullish sentiment, but blindly believing this will recover tomorrow is a fools folly.
 lol.. that made me giggle.. I hate to say it, but you are right about typical rationale not being the most applicable in this market being propped by fiscal dollars... But the current few weeks have been pretty direct in correlation to past performance in regards to election years. I don't know for sure, but I do suspect the downward movement will be the trend until the election shows a clear winner. God forbid it gets contested, then we'll have a real ****show on our hands lol.
So bearish spreads better as more neutral iv?
 You want to try and stay delta neutral with spreads in general. The gen rule of thumb is high IV is good for selling spreads, low IV is good for buying. High IV benefits sellers in the form of IV contraction aka IV crush. Low IV benefits buyers in the form of IV expansion. So it depends on what kind of "bearish" spread strategy suits your goal better. I would lean more toward call spreads because selling call spreads and taking profit at 50% tends to be more profitable than buying puts in most, but not all cases. I have a few long call broken wing butterflies on a few underlying atm, but only because I'm consistent with pinning my short strikes. If you like trading ranges shot Iron Condors or strangles might be more suitable as well. Just depends.
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