What You Need To Know In Options For This Week - 12/14

The Markets

The VIX was higher last week, closing on Friday above 23.

SPY options are pricing in about a 1.7% expected move this week, corresponding to about $360 on the downside and $372.50 on the upside, via Options AI:

QQQ options are pricing in a 2.2% expected move this week, corresponding to about $295 on the downside and $308.50 on the upside:

In the News

The big news of the week, besides the beginning of the vaccine rollout, is Tesla's TSLA addition into the S&P 500. Here's a look at how options are pricing TSLA into Friday, an 11.5% expected move corresponding to $538 on the downside and $677 on the upside:

We'll revisit Tesla options and how the expected move translates for option strike/trade set-ups in the next few days.

Earnings of Note This Week

Expected moves by this Friday, and how the stock moved around prior earnings. (links to Options AI Earnings Calendar)

Lennar LEN - Wednesday AH / 6.1%

FedEx FDX - Thursday AH / 7.1%

Blackberry BB - Thursday AH / 10.1%

Nike NKE - Friday AH / 4.7%