IWM Archives - Cboe Blogs

  • Market News | Dec 22, 2016, 9:26 AM

    Block Trade Analysis IWM Bull Put Spread

    Block Trade Analysis IWM Bull Put Spread

    While playing email catch up today I came across an interesting question.  Someone noticed that as the market was nearing the close this past Friday (12/16) someone came in and put on a sizable trade using options on the iShares Russell 2000 Index ETF (IWM).  With IWM at 135.90 there was a seller of 11,800 IWM Mar 17th 110 Puts for 0.48 who then purchased the IWM Mar 17th 92 Puts for 0.09 and a net credit of 0.39.  The payoff at March expiration appears below. The long 110 strike[...]

  • Market News | Trader Talk | Jan 10, 2016, 9:00 AM

    Weekly Review - Russell 2000 Index and Options - 1/4 - 1/8

    Weekly Review - Russell 2000 Index and Options - 1/4 - 1/8

    With only one week behind us it is tough to show year to date charts for the Russell 1000 (RUI) and Russell 2000 (RUT).  I’ll just note that the bad week was broad based with RUI losing 6.04% and RUT dropping a whopping 7.90%.  The Russell 2000 drop is particularly noteworthy since it out did the late August one week drop by over 2%.  Small cap stocks had a tough 2015 and the underperformance has extended into the first week of 2016. On the trading front I noticed a big IWM trade[...]

  • Market News | VIX | Trader Talk | Futures | Aug 30, 2015, 9:40 AM

    The Week in Russell 2000 Trading - 8/24 - 8/28

    The Week in Russell 2000 Trading - 8/24 - 8/28

    Once a month I leave CBOE for a couple of days and turn into a student attending a residency at Oklahoma State.  I do my very best to leave the markets behind and focus on my studies.  I did a pretty good job of tuning out what was going on toward the end of the week.  This resulted in me being surprised that the Russell 1000 (RUI) gained almost 1% on a week over week basis with the Russell 2000 rising just over a half of a percent.  Both are lower on the year, with large[...]

  • Market News | VIX | Trader Talk | Strategy | Jul 13, 2015, 8:35 PM

    RUT Alternative to an IWM Put Spread

    RUT Alternative to an IWM Put Spread

    Every Saturday morning my ritual includes grabbing the latest issue of Barron’s and turning directly to the Striking Price column which is regularly authored by a good friend of CBOE Steve Sears, who is credited with coining term ‘fear index’ for VIX. This weekend another good friend of CBOE, Bill Luby the chief investment officer of Luby Asset Management and the publisher of the VIX and More blog site (www.vixandmore.com) was the guest author of the Striking Price column[...]

  • The Week for Russell 2000 Trading - 5/4 - 5/8

    The Week for Russell 2000 Trading - 5/4 - 5/8

    Small cap stocks played a little catch up last week with the Russell 2000 rising 0.55% while the Russell 1000 gained 0.35%.   Like all broad based market indexes in the US last, the positive performance came from the market’s reaction to Friday’s employment report. Large cap stocks actually ruled the day on Friday with the benchmark Russell 1000 gaining 1.2% while the Russell 2000 rose by about 0.75%. For a perspective on the relative performance of large and small cap stocks[...]

  • Market News | Apr 26, 2015, 1:47 PM

    Russell 2000 Weekly Recap - 4/20 - 4/24

    Russell 2000 Weekly Recap - 4/20 - 4/24

    Small cap stocks were lower on Friday and the Russell 2000 didn’t get much love as the Nasdaq-100 and S&P 500 put up all-time highs last week. Despite RUT lagging a little there were a couple of Friday trades that at minimum expect the Russell 2000 to stay around current levels over the next few weeks or months. First, there was a trade that seems to expect a neutral to bullish for small cap stocks over the next few months. Early in the day, someone came into the Russell 2000 pit and sold[...]