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Binary Options Trading Monitor for July 8, 2010 (VIX)

The Binary Options Trading Monitor highlights traditional options trading of the underlying assets currently available on the leading binary options trading platforms. With a focus on short-term activity, binary options traders can use this intelligence to gauge stock sentiment and help assess potential stock movement in the coming weeks.

Notable Options Trading:

CBOE Volatility Index (VIX) - Negative: We continue to see investors positioning for lower VIX readings in the coming weeks. This afternoon investors purchased over 20k July 25-20 put spreads, paying roughly $0.65. For this trade to turn a profit the VIX would need to trade below $24.35 (down 5% from current levels) upon July expiration. VIX binary options can be traded on the Anyoption platform.


Binary Options Weekly:

This week in the Binary Options Weekly we discuss how binary option traders can take advantage of patterned stock movement during the last few trading hours of traditional options expiration. We explore the “Pin Risk” phenomenon, highlight recent examples, and show you how to construct a high probability trade to exploit pinning situations for binary option gain.

For daily Binary Options commentary/strategies and to receive your free subscription to the Binary Options Weekly, please visit us at www.DerivStrategies.com.




Disclosure: No Positions
Stocks: VIXX, VXX