THE WEEK AHEAD: ZM, IWM, EWA; VIX

2020年5月31日

EARNINGS:

ZM (64/88) announces earnings on Tuesday after market close with the June 20-delta 155/220 short strangle paying 9.40, the 145/155/220/230 paying 3.50 with after hours markets showing wide, however.


EXCHANGE-TRADED FUNDS SCREENED FOR 30-DAY IV >35% AND SHOWING JULY SHORT STRADDLE PRICE AS A FUNCTION OF SHARE PRICE:

SLV (48/36), 10.0%
EWA (47/38), 9.0%
EWW (41/40), 10.3%
XBI (39/42), 11.2%
GDXJ (38/56), 15.3%
GDX (37/46), 12.4%
TQQQ (36/89), 21.0%
XLE (32/44), 11.4%
EWZ (31/50), 13.3%
SMH (30/38), 10.2%
XOP (21/56), 15.1%
USO (18/69), 17.7%


BROAD MARKET SHOWING JULY SHORT STRADDLE PRICE AS A FUNCTION OF SHARE PRICE:

IWM (45/39), 10.2%
QQQ (27/28), 7.3%
EFA (27/25), 6.4%
SPY (26/27), 6.8%


DIVVY EARNERS WITH JULY SHORT STRADDLE PRICE AS A FUNCTION OF SHARE PRICE:

EMB (22/17), 4.1%
EFA (27/25), 6.4%
EWZ (31/50), 13.3%
TLT (19/18), 4.5%
EWA (47/38), 9.0%
IYR (39/32), 8.5%
XLU (34/25), 6.7%
HYG (26/16), 3.7%
SPY (26/27), 6.8%

Notes: One thing you'll notice right off the bat is that the ranks of all of the shown exchange-traded funds are in the lower half of their 52 week ranges, so it may be a time to hand sit, dry out powder, and work various broken plays you may have on and that still need work versus getting into new stuff in a less than ideal premium selling environment.

For longer time horizon players and investors, the next high risk event will likely be (no surprise here) the November elections, so it makes sense to have buying power free in the event that it proves to be something more than a "nothing burger" from a volatility perspective. I'd particularly like to have another go at some of these dividend earners, none of which I've been able to pick up shares in since laddering out short puts at maximal implied volatility.