Options-based Technical Analysis.
Options Deep Dive ™


Knowledge and price discovery through options trading is essential to a well-rounded view of the markets. However, key information from options data is often overlooked or ignored entirely because of its complexity. Therefore, traders and market participants routinely make decisions based on an incomplete picture of the market. Hydrocarbon Reports fills that gap in knowledge. The perspective gained by analyzing the options market can be used to increase trading revenue not only in options, but in the underlying futures contract as well.
This reports aims to capture new methods in exploring options data, while summarizing the results in an easy to understand presentation.
The Hydrocarbon Reports Options Deep Dive ™ extracts five predictive options-based indicators for the underlying futures price. The five indicators are a tertiary addition to the already existing technical charting methods and fundamental research. The measures can be summarized as follows:
Indicator #1: Put/Call Ratios
Indicator #2: Daily Volume, Open Interest and Total Premium Profiles
Indicator #3: Strike Price Weighted by Daily Volume, Open Interest and Total Premium
Indicator #4: Futures Probability Distributions Implied from Option Settlement Prices
Indicator #5: Implied Volatility Skew Shift

Information is provided ‘as is’ and solely for informational purposes, not for trading purposes or advice.

Copyright © Hydrocarbon Reports. All rights reserved. Source : CME Group.