$SPY PUT HOLDERS — Why some Red days don’t pay the way you expect. (VEGA)
Today was a textbook example:$SPY closed yesterday near 715/716 and traded down near 711 today.Normally traders assume puts should rip.But the missing ingredient was $VIX / implied volatility.$VIX actually compressed lower while $SPY fell.That means:🔻 Delta helped puts (price down)🔻 Gamma helped near strike moves🔻 Theta kept decaying premium🔻 Vega got hit as volatility fellResult:Price was red… but fear was not.When $VIX drops during a $SPY selloff, puts often gain less than expected because volatility premium is being removed.Best put environment:✅ SPY down✅ VIX up✅ Gamma accelerating near strikesWeak put environment:⚠️ SPY down⚠️ VIX down⚠️ Vega offsets gainsTape message today:“Market lower, but not panicked lower.”Learn this and you’ll understand why some perfect-looking put trades underperform.#SPY #SPX #VIX #OptionsTrading #Greeks #Volatility #Gamma #Vega@market_sleuth @itsmichaelluu @SuperLuckeee @blondebroker1 @AndrewHiesinger @QuantData @astocks92D
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Webull (Trans): Vol. and price up after PDT removal; Q3 marketing unchanged
The PDT rule was removed on Jun 4, driving option contract volume up 34% QoQ. Quarterly revenue hit a record $198.8mn, and Adj. OPM rose to 31.5%.
However, marketing spend in 2H will remain roughly flat vs 1H and will not come in below Q2 levels. Management is placing the incremental upside on agentic trading and on the acquisition of Thailand's Pi Securities, expected to close by end-Aug.Conference MinutesWebull
