Here's my full take on the markets right now.
Discussing:
- Short Vol Blowout $VXX
- Econ Data $MACRO
- Carry Trade Unwind $AUDJPY
- Rotational Dynamics in $IWM$XLV and $XLF
- Dispersion Trade Unwind in $NVDA$AAPL and others
Enjoy!
7. If there is a gap up on Wednesday or (even better) Thursday, watch for the call IV to stop rising, and the distance between price and 20 delta starts to decrease.
It's the vanna crush. Short it.
More $TSLA stuff
I talk about looking at distance between 20 delta call and underlying stock
Because if that distance "sticks," then time premium is replacing vol premium and keeps upside pressure on the stock.
Some screenshots from today: