Options Insight: How to Trade the SPDR S&P Oil & Gas ETF

Options Insight: How to Trade the SPDR S&P Oil & Gas ETF

Assessment

Interactive Video

Business

University

Hard

Created by

Quizizz Content

FREE Resource

The video discusses upcoming risk events, including OPEC, the Italian referendum, and the FOMC meeting. It highlights the current low volatility in the market and its implications for equities. The options market's perspective on OPEC is explored, noting low implied volatility and specific trading strategies. Recommendations include being long convexity and using options to hedge or capitalize on potential market movements.

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5 questions

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1.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which of the following events is NOT mentioned as a risk event in the transcript?

Brexit referendum

FOMC meeting

Italian referendum

OPEC meeting

2.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the current state of the volatility index according to the transcript?

Near record lows

Near record highs

Unpredictable

Stable and high

3.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

How does the transcript describe the market's reaction to the election compared to Brexit?

More volatile

Less volatile

Similar and benign

Completely different

4.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

What is the recommended strategy for clients with low implied volatility?

Long convexity or gamma

Avoiding the market

Short selling

Buying high-risk stocks

5.

MULTIPLE CHOICE QUESTION

30 sec • 1 pt

Which ETF is mentioned as having exploded open interest?

QQQ

SPY

XOP

USO