VXX241213P00033000 Option on iPath Series B
| VXX Etf | USD 43.96 0.34 0.78% |
IPath Series' latest option contracts expiring on April 17th 2025 are carrying combined implied volatility of 0.88 with a put-to-call open interest ratio of 0.08 over 35 outstanding agreements suggesting investors are buying way more calls than puts on contracts expiring on April 17th 2025. The total put volume is at 31.0, with calls trading at the volume of 23.0. This yields a 1.35 put-to-call volume ratio.
Open Interest Against April 17th 2025 Option Contracts
IPath Series option prices can potentially be used to forecast stock returns because most option chains provide information not only about the current prices but also about the future conditions in IPath Series' lending market. For example, when IPath Series' puts are not actively trading or completely missing in the marketplace, investors can use it to internalize expected shorting costs. So if an investor is writing a put option on IPath Series, he or she must hedge the risk by shorting IPath Series stock over its option's life.
2025-04-17
The chart above shows IPath Series' distribution of open interest by maturity on contracts that have not yet been settled. The area between the two highest points is the projection of the price at expiration. IPath Series' open interest chart also provides vital information regarding the liquidity of an option. If there is no open interest for IPath Series' option, there is no secondary market available for investors to trade.
In The Money vs. Out of Money Option Contracts on IPath Series
Analyzing IPath Series' in-the-money options over time can help investors to take a profitable long position in IPath Series regardless of its overall volatility. This is especially true when IPath Series' options are deep in the money. These options can be identified using deltas that are over 0.75. Deep in-the-money IPath Series' options could be used as guardians of the underlying stock as they move almost dollar for dollar with IPath Series' stock while costing only a fraction of its price.
iPath Series B In The Money Call Balance
When IPath Series' strike price is surpassing the current stock price, the option contract against iPath Series B stock is said to be in the money. When it comes to buying IPath Series' options that are 'In the Money' or 'Out of the Money', the choice depends on your outlook for the underlying security, financial situation, and what you are trying to achieve.
While 'out-of-the-money' option contracts written on iPath Series B are typically viewed as the more aggressive, there are potential upsides to purchasing these types of options contracts. For one, the cost to buy an 'Out of the Money' option is lower than the cost to buy an 'In the Money' option. This cost-benefit is due to the fact that at the time of the purchase, 'Out of the Money' contracts have no intrinsic value. So, while the potential for a 100% loss is more significant, the cost and risk to enter the trade are lower.
IPath Current Options Market Mood
IPath Series' open interest and total value indicators provide investors with the necessary information to digest the overall options buildup for its expiring contracts. In addition, it helps IPath Etf's traders understand whether a recent fall or rise in the market is unreasonable and if the time has come to take contrarian positions. These ratios are calculated based on options trading volumes and current open interest.
Put-to-Call Open Interest
Put-to-Call Volume
Most options investors, including buyers and sellers of IPath Series' calls and puts, are not very successful. It is estimated that an average options trader loses somewhere between 80% to 90% of the time. IPath Series' option open interest and volume spread between outstanding puts and calls are regarded by many investors as reliable indicators of the overall future market direction.
Rule 16 of the current IPath contract
Base on the Rule 16, the options market is currently suggesting that iPath Series B will have an average daily up or down price movement of about 0.055% per day over the life of the 2025-04-17 option contract. With IPath Series trading at USD 43.96, that is roughly USD 0.0242. If you think that the market is fully incorporating IPath Series' daily price movement you should consider buying iPath Series B options at the current volatility level of 0.88%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
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Purchasing IPath Series options can give investors a meaningful hedge against losses and, therefore, could be used conservatively to decrease the volatility of your portfolio. However, many options could also amount to little more than gambling, significantly enhancing your overall portfolio risk. One simple example of these aggressive strategies is the sale of "uncovered" IPath calls. Remember, the seller must deliver iPath Series B stock to the call owner when a call is exercised.
IPath Series Option Chain
When IPath Series' strike price is surpassing the current stock price, the option contract against iPath Series B stock is said to be in the money. When it comes to buying options that are ITM or OTM, the choice depends on your outlook for the underlying security, financial situation, and what you are trying to achieve.
IPath Series' option chain is a display of a range of information that helps investors for ways to trade options on IPath. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for IPath. It also shows strike prices and maturity days for a IPath Series against a given expiration period. The table below combines all the option information in the form of a chain but before you use it, remember that it entails significant risk and it is not for everyone. | Open Int | Strike Price | Current Spread | Last Price | |||
Call | VXX250417C00030000 | 1 | 30.0 | 12.05 - 16.2 | 15.45 | In |
Call | VXX250417C00039000 | 10 | 39.0 | 7.0 - 9.65 | 7.61 | In |
Call | VXX250417C00043000 | 13 | 43.0 | 5.5 - 7.55 | 6.15 | In |
Call | VXX250417C00044000 | 3 | 44.0 | 3.7 - 7.85 | 7.9 | Out |
Call | VXX250417C00045000 | 3 | 45.0 | 3.9 - 6.6 | 5.57 | Out |
Call | VXX250417C00046000 | 1 | 46.0 | 3.65 - 6.0 | 5.5 | Out |
Call | VXX250417C00047000 | 1 | 47.0 | 2.8 - 5.35 | 4.61 | Out |
Call | VXX250417C00049000 | 10 | 49.0 | 4.05 - 6.3 | 4.87 | Out |
Call | VXX250417C00055000 | 3 | 55.0 | 3.0 - 5.4 | 3.8 | Out |
Call | VXX250417C00060000 | 1 | 60.0 | 0.97 - 4.8 | 3.04 | Out |
Call | VXX250417C00063000 | 0 | 63.0 | 0.5 - 4.4 | 0.5 | |
Call | VXX250417C00064000 | 0 | 64.0 | 1.7 - 4.4 | 1.7 | |
Call | VXX250417C00065000 | 2 | 65.0 | 0.24 - 3.85 | 2.01 | Out |
Call | VXX250417C00070000 | 0 | 70.0 | 0.0 - 4.4 | 4.4 | |
Call | VXX250417C00075000 | 0 | 75.0 | 0.01 - 3.75 | 0.01 | |
Call | VXX250417C00080000 | 0 | 80.0 | 0.01 - 4.4 | 0.01 | |
Call | VXX250417C00085000 | 5 | 85.0 | 0.02 - 3.4 | 1.5 | Out |
Call | VXX250417C00090000 | 0 | 90.0 | 0.0 - 4.4 | 4.4 | |
Call | VXX250417C00095000 | 0 | 95.0 | 1.0 - 2.94 | 1.0 | |
Call | VXX250417C00100000 | 652 | 100.0 | 1.0 - 2.55 | 1.4 | Out |
Put | VXX250417P00030000 | 6 | 30.0 | 0.0 - 0.23 | 0.24 | Out |
Put | VXX250417P00035000 | 7 | 35.0 | 0.0 - 1.65 | 1.32 | Out |
Put | VXX250417P00036000 | 23 | 36.0 | 0.0 - 1.77 | 1.38 | Out |
Put | VXX250417P00039000 | 11 | 39.0 | 0.86 - 2.94 | 2.62 | Out |
Put | VXX250417P00040000 | 5 | 40.0 | 1.52 - 4.45 | 3.8 | Out |
Put | VXX250417P00063000 | 0 | 63.0 | 19.5 - 23.45 | 19.5 | In |
Put | VXX250417P00064000 | 0 | 64.0 | 20.05 - 24.35 | 20.05 | In |
Put | VXX250417P00065000 | 6 | 65.0 | 21.4 - 25.25 | 23.76 | In |
Put | VXX250417P00070000 | 0 | 70.0 | 25.65 - 30.1 | 25.65 | In |
Put | VXX250417P00075000 | 0 | 75.0 | 30.7 - 34.65 | 30.7 | In |
Put | VXX250417P00080000 | 0 | 80.0 | 35.05 - 39.4 | 35.05 | In |
Put | VXX250417P00085000 | 0 | 85.0 | 40.3 - 44.2 | 42.55 | In |
Put | VXX250417P00090000 | 0 | 90.0 | 45.0 - 49.15 | 45.0 | In |
Put | VXX250417P00095000 | 0 | 95.0 | 50.0 - 54.05 | 50.0 | In |
Put | VXX250417P00100000 | 0 | 100.0 | 54.55 - 59.0 | 54.55 | In |
Check out World Market Map to better understand how to build diversified portfolios, which includes a position in iPath Series B. Also, note that the market value of any etf could be closely tied with the direction of predictive economic indicators such as signals in interest. You can also try the Portfolio Volatility module to check portfolio volatility and analyze historical return density to properly model market risk.
The market value of iPath Series B is measured differently than its book value, which is the value of IPath that is recorded on the company's balance sheet. Investors also form their own opinion of IPath Series' value that differs from its market value or its book value, called intrinsic value, which is IPath Series' true underlying value. Investors use various methods to calculate intrinsic value and buy a stock when its market value falls below its intrinsic value. Because IPath Series' market value can be influenced by many factors that don't directly affect IPath Series' underlying business (such as a pandemic or basic market pessimism), market value can vary widely from intrinsic value.
Please note, there is a significant difference between IPath Series' value and its price as these two are different measures arrived at by different means. Investors typically determine if IPath Series is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, IPath Series' price is the amount at which it trades on the open market and represents the number that a seller and buyer find agreeable to each party.