I burned quite a bit of time fiddling with my earnings parsers this morning, so this post will be quick and snappy. But in a nutshell I was trying to write a Thinkscript indicator that would plot only the front week IV but ended up drawing them manually as their API documentation sucks blocks. Hopefully TOS support will sort me out by next earnings season as it’s a royal PITA. Anyway, the opening bell is only a few minutes away, so let’s get to this week’s goodies:
The only thing that retail traders love more than earnings season is to endlessly debate the direction of how each issue may resolve. Now if you intent to BUY stock at a discount then waiting for a negative announcement and purchasing shares before the rebound can – on average – work out famously during bull markets. However when it comes to profiting from earnings via speculation the name of the game is not to pick a direction, rather it’s to profit from a large stock price move no matter the direction.
In part 2 of this series I am going to dumb down a key aspect of bear markets that has largely remained unknown to the vast majority of retail traders. It is important to embrace the fact that while the gray unwashed masses focus solely on the daily gyrations of the VIX professional traders instead religiously follow an exotic construct called the Implied Volatility Term Structure (IVTS).
The teens are over and done with and we’re now heading straight into the roaring twenties. I know it’s supposed to be hip to be all cynical and black pilled these days; but let me be among the first to buck this nauseating trend and predict that it’s going to be an awesome decade for anyone serious about being successful – and most importantly the very few willing to put in the work.