Options traders who purchased Tesla Motors Inc (NASDAQ:TSLA) calls a few weeks ago were disappointed when the stock rose significantly this week, but the price of the options didn’t move much at all. The culprit? Volatility traders. Tesla Motors reaches new record highs Tesla Motors Inc (NASDAQ:TSLA) reached new record highs every day last week, and while the actual stock prices gained, algorithmic options traders were knocking down the implied volatility and algorithmic sell signals indicated the move in Tesla may be over now, suggesting a retreat in the stock price over the coming months. It was professional managed futures…
Votality Traders Take Wind Out of Tesla Motors Inc Options
Mark Melin
Mark Melin is an alternative investment practitioner whose specialty is recognizing the impact of beta market environment on a technical trading strategy. A portfolio and industry consultant, wrote or edited three books including High Performance Managed Futures (Wiley 2010) and The Chicago Board of Trade’s Handbook of Futures and Options (McGraw-Hill 2008) and taught a course at Northwestern University's executive education program.
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