Trading Block: August US listed options volumes grew 12% compared to July, reaching a new monthly high in 2015. VIX dips below 20.00 for the first time since August 20th after FOMC statement. No hike: Fed keeps benchmark rate near zero. Citing global economic weakness and financial market turmoil, the Federal Reserve agreed Thursday to keep its benchmark interest rate near zero despite the rapidly improving U.S. labor market. Alt-Options launches Bitcoin derivative market.
Odd Block: Strange and unusual activity in PBR, WLL, and QLIK.
Strategy Block: Uncle Mike Tosaw discusses trading the Fed.
Listener Mail: Listener questions and comments.
Comment from Hawkeye - Mark- A few things- Too bad the daily dose of Lobster was too much of a cholesterol bomb for those guys at TOS. Bummer. I liked the show. With respect to the OIC study on various options strategies since 2003 - Are you really surprised the highest return was gained by a synthetic short put stupid in what has mostly been a bull market? (covered strangle => short call + long stock = ITM short put, plus OTM short put). So, YES! Selling 2 puts brings in more money than selling only 1! Yes, the Lobster and Meatball have taught me enough to figure this out and they should feel good that something has stuck.
Keep the great shows coming- Hawkeye
PS- A while back Uncle Mike answered a question I had about holding. I sent a thank you back, but I was not sure you ever got it. Anyways, please tell Uncle Mike THANKS that that was an outstanding answer and it made perfect sense.