Busy Bee Morning Update

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Google’s situation is very interesting this morning. The stock is up 5 dollars, while its implied volatility is up over 10%. What can one make of this divergence? Are investors getting anxious holding the stock at 800, which it also broke today? The large effective volume  is very strong, showing strong support for it current price.

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Courtesy Pascal Willain

Also the 4.75 USD rise in RUT today has been accompanied by a higher level of implied volatility in the RVX, +1.63%.

As expected the market shook some coconuts loose this morning.

I was busy early adjusting spreads to conform with my general rule to keep the delta/theta ratio strongly in my favor.

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