How to Analyze Options Information on Your Stocks | Driven By Data Ep 50
This week, Matt and Tyler dive into analyzing options information on your stocks using ORATS’ stock scanner and trade builder tools. They walk through an Nvidia trade, demonstrating how to review implied volatility, contango, and historical price relationships. The episode also covers implied earnings moves, comparing them to historical averages, and explores building trading strategies, such as put and call calendars and iron condors, in anticipation of earnings.
We also discuss how to use ORATS' time and sales feature to analyze order flow, look at live trade data, and set event alerts. The show wraps up with a hands-on demonstration of the trade builder, where Matt explains how to visualize payoffs and break-even points.
Link to ORATS University: https://orats.com/university
00:00 Intro to ORATS
00:20 Review of SPX Short Call Butterfly Trade
01:33 Discussion on Analyzing Options Information on Stocks
02:31 Using Stock Scanner for Options Data
03:29 Implied Volatility vs. Stock Price Relationship
04:33 Comparing Nvidia to ETF Components
05:35 Understanding Contango and Backwardation in Options
06:58 Ex-Earnings Volatility Calculation
07:59 Nvidia’s Implied Earnings Move
09:42 Understanding Implied vs Actual Moves in Nvidia
11:00 Order Flow and Time & Sales Data for Nvidia
12:27 Building a Trade in Trade Builder
15:03 Review of Iron Condor Strategy
18:04 Setting Alerts for Post-Earnings Strategy
19:09 Backtesting and Reviewing Nvidia’s Put Calendar
22:12 Nvidia Options Chain Visualization
23:38 Conclusion and Final Thoughts
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