Daily Options Outlook | Tesla earnings report released tonight; Beyond Meat dropped 9.91% as executives plan to sell 30,000 shares, retail short squeeze drives stock volatility

I. Today's Options Opportunities Outlook

Macroeconomic level, Trump announced plans to extend the ceasefire period and continue the maritime blockade against Iran; on the evening of April 21 Beijing time, Kevin Warsh attended the Federal Reserve Chair nomination hearing, emphasizing that the Fed remains independent and unaffected by external statements. $Invesco QQQ Trust (QQQ.US)$ Up 0.7% pre-market, the options market shows QQQ's Put/Call ratio at 1.21, with implied volatility at 24.26%, reflecting market concerns over a potential pullback after a sustained rise in stock prices.

On the individual stock level， $Tesla (TSLA.US)$ Tesla is set to release earnings after today’s market close. Currently up 0.7% pre-market, this earnings report will test whether Tesla can successfully transition from a traditional automaker to an AI and robotics technology company. Tesla's implied volatility percentile is currently at 33%, a historically low level.

Storage sector continues to rise， $Western Digital (WDC.US)$ Up 3.55% pre-market, the options market shows WDC's Put/Call ratio at 1.72, indicating market caution with protective positions amid the continued rise in storage stocks.

II. Review of yesterday's options market

Index Options

On April 21 Eastern Time, trading volume in the US index options market increased, with a total of 6.79 million contracts traded. The Put/Call ratio fell to 1.12.

As the upcoming expiration date approaches,$S&P 500 Index (.SPX.US)$ The distribution of options trading volume shows the following characteristics: peak put option volume at 7,000 points, peak call option volume at 7,150 points.

Single Stock Options

$Advanced Micro Devices (AMD.US)$Closed up 3.47%, with 572,300 options contracts traded. The put/call volume ratio rose to 0.69. AMD signed a multi-year contract to supply AI chips to OpenAI, which was granted an option to purchase up to approximately 10% of AMD's shares.

$Beyond Meat (BYND.US)$Closed down 9.91%, with 644,500 options contracts traded. The put/call volume ratio rose to 0.13. Beyond Meat executives plan to sell around 30,000 shares, causing significant fluctuations driven by retail investors.Short squeezeMarket conditions saw substantial volatility.

Top list of options trading volume

Among the top 10 stocks by options trading volume,$Tesla (TSLA.US)$The highest put/call volume ratio reached 0.91.

The highest put/call open interest ratio is$Palantir (PLTR.US)$, reaching 1.06.

Implied volatility rankings (underlying market cap > $10 billion and options trading volume > 100,000)

$Avis Budget (CAR.US)$Implied VolatilityThe highest increase reached 245.07%, growing by 17.30% compared to the previous trading day.

$Opendoor Technologies (OPEN.US)$Implied volatility increased the most, reaching 117.28%, up 30.72% from the previous trading day.

Risk Warning

An option is a contract that gives the holder the right, but not the obligation, to buy or sell an asset at a fixed price on a specific date or before that date. The price of an option is influenced by various factors, including the current price of the underlying asset, the strike price, time to expiration, and implied volatility.

Implied volatility reflects the market's expectation of the option's volatility over a certain period in the future. It is derived inversely from the BS pricing model of options and is generally considered an indicator of market sentiment. When investors anticipate greater volatility, they may be more willing to pay higher prices for options to hedge risks, resulting in higher implied volatility.

Traders and investors use implied volatility to assessOption priceattractiveness, identify potential mispricings, and manage risk exposure.

Disclaimer
This content does not constitute any offer, solicitation, recommendation, opinion, or guarantee of any securities, financial products, or tools. The risk of loss in trading options can be substantial. In some cases, losses may exceed the initial margin deposited. Even if you set contingent orders such as 'stop-loss' or 'limit' orders, these may not prevent losses. Market conditions may make such orders unexecutable. You may be required to deposit additional margin within a short period. If you fail to provide the required amount within the specified time, your open positions may be liquidated. However, you will still be responsible for any shortfall in your account. Therefore, before trading, you should study and understand options and carefully consider whether such trading is suitable for you based on your financial situation and investment objectives. If you trade options, you should be familiar with the procedures for exercising options and the rights and obligations upon exercise and expiration. Options trading carries extremely high risks and is not suitable for all investors. Investors should carefully readCharacteristics and Risks of Standardized Options。

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