Wednesday, June 11, 2025
On March 7, 2024, Roundhill Investments launched the first 0DTE (zero days to expiration) covered call exchange-traded funds (ETFs). These funds introduce new strategies to the ETF space, enabling fund managers to respond to rapidly changing markets with greater speed and agility. Traditional covered call trading involves owning an underlying asset (such as individual stocks […]
Everyone loves a single-digit priced stock. This is despite the fact that academics tell us there is no advantage to buying a low-priced stock; instead, they say, a move from $5 to $8 is the same as a move from $50 to $80. That is not exactly true: much of the time, it takes less […]
The most popular way for investors to trade small caps is through the iShares Russell 2000 ETF (IWM). IWM averages nearly 30 million shares traded per day, and over 750,000 options. Last week, a large fund or trader placed a block of nearly 50,000 puts in IWM that expire in October. These far-out-of-the-money puts could […]
Market volatility has been at its highest since February. Small cap stocks have been particularly volatile lately. Keep in mind, small caps tend to get sold early when there is a flight to quality. The popular small cap stock ETF, iShares Russell 2000 ETF (IWM) dropped from a 52-week high near $245 all the way […]
Bitcoin miner, Bit Digital (BTBT) had an explosive week, with the crypto bull market showing no signs of cooling off. From here, BTBT has the potential to move higher, with analysts saying Bitcoin could rally well beyond $100,000. Citibank for example says we could see $318,000 BTC in 2021. Guggenheim is calling for a valuation […]
Small cap stocks have been on a tear over the last month, with iShares Russell 2000 ETF (IWM) up nearly 11% in that span. IWM is a heavily traded index ETF that tracks small cap stocks, which sometimes represents the value trade. At least one big trader is using covered calls to express a very […]
Options trading continues to be very active in this market, even though daily volatility of stocks moves has dropped in recent weeks. Index and ETF options remain popular methods for trading market direction. They are also very useful instruments for hedging long stock portfolios. For instance, iShares Russell 2000 ETF (IWM) can be used as […]
