If you’re glued to your CNBC and Wall Street Journal tracking the developing financial-sector meltdown from last weekend, here’s another channel to tune into. Last Friday afternoon I spoke with the guys from ONN.tv’s Options Cocktail show on exactly this topic. (If you’re not familiar, ONN stands for Options News Network, a great collection of online video content, both news and educational, geared specifically to options traders.)

Not only did we correctly predict that Merrill would be the next big giant to fall, we also discussed a few options strategies you might consider in the coming week to take advantage of what looks to be a highly volatile expirations week ahead.

I’m also on the lookout for other options bloggers addressing these developments, so watch this space for more info. The Daily Options Report, for one, has a fairly contrarian take on the whole thing.

And feel free to send me your questions or ideas to this blog, too. Big moves like these can definitely bring out investors’ nervous sides, but it’s important not to act in haste and torpedo your trading plan. I’m more than happy to help you sort our your thoughts as we move through what promises to be a big week.


Regards,
Brian (OG)

Options involve risk and are not suitable for all investors. Please read Characteristics and Risks of Standardized Options.

While implied volatility represents the consensus of the marketplace as to the future level of stock price volatility or probability of reaching a specific price point there is no guarantee that this forecast will be correct.

Any strategies discussed or securities mentioned, are strictly for illustrative and educational purposes only and are not to be construed as an endorsement, recommendation, or solicitation to buy or sell securities.