iStock_000005369380XSmall Gold – Options Report – June 28, 2010

FMX | Connect (Reported 6/28/2010)

The following is a report of Gold Option’s activity in the Over-The- Counter and Exchange traded venues. Information is compiled and summarized below.









Daily Recap:

Despite the downward spiral of futures today, options activity today was almost entirely bullish. Speculative funds came in putting on directional plays in August, December, and February. First the Feb 1450/1550 call spread was purchased approximately 1500 times. Next, a December condor centered around the 1500 area was purchased as well. Finally, after the washout in futures, and marking the low of the day. A spec came in and purchased the August 1200/1280 risk reversal.  Market makers were happy to sell everything to the speculators as they were long volatility and slight nervous about the lack of bullish directing. At the end of day, volatility was higher, especially in the back months. The options market continues to behave in a bifurcated manner. The short dated months are dominated by ETF activity while the back dated months are dominated by large macro players. 


 


ATM Volatility Curve:

 

 image

 

 Technical Recap:

 

  image

 

Volatility Smile:

image

 

***From NYMEX Settlement

 

Significant Activity:

1.    Q10 1200 P.

2.    Q10 1500 C. 

3.    Q10 1250 C.




Premium Subscribers (click here to register):

Volumes & Open Interest

End Of Day Straddles

Trade Blotter

Settlements

 

 

-----

About FMX: FMX Connect is an information, data, and analytics portal for Commodities. The portal provides an all-in-one package including essential market data, independent third party research, industry news, and commodity trading tools. FMX Connect provides efficient, effective, and thorough data that bridges all aspects of commodities onto one screen. The Result; A user friendly application for hedge fund traders, OTC brokers, individual investors, and industry participants
-----
Note: The information presented, while from sources generally believed to be reliable, is not guaranteed and may not be complete. FMX | Connect makes no representations or warranties regarding the correctness of any opinions or information. Past results are not necessarily indicative of future results. Nothing in this report should be construed as a representation to buy or sell shares, futures or options, which contain considerable risks. For internal client distribution only. Any reproduction, re-transmission, or distribution of this report without permission is prohibited. Media correspondents or reporters may not quote any one page or section in its entirety and must attribute all quotes, ideas or concepts herein. Copyright FMX | Connect, ©2009-2010. All rights reserved.