Remy Blaire: Midday trade underway. Let’s go out to Chicago. FINTECH.TV contributor Errol Coleman joins us live from the trading floor. Hi, Errol. Thank you so much for joining us. So we are continuing to keep an eye on all asset classes. But what activity are you following in midday trade?
Errol Coleman: Yeah. You know what, Remy? Right now, as we speak, actually, the Nasdaq is making new lows on the day. And not only is it making new lows, we just took out yesterday’s previous low. So this initial rally that we had seen into yesterday afternoon and into the after-hours yesterday, we’re giving back most of the gains.
And the same story and the same sentiment is playing out in things like Tesla, as we make new lows. Even after yesterday’s extremely hyped-up unveil of their new Tesla Roadster rocket ship car, whatever you want to call it, they’re selling back off to their lows as well. Maybe broader market flows are affecting them, but so far today, Remy, we’re giving back most of the gains.
Remy Blaire: Yeah. And speaking of which, we just saw the Dow industrials dip into negative territory as well. But as we count down to the close, we’re also looking ahead to the upcoming week. We get key reports out from Netflix in terms of earnings, as well as IBM and Tesla coming down the pike. So when it comes to the prediction markets, what are traders focused on when it comes to the upcoming week?
Errol Coleman: Well, you know what? I think a lot of traders are expecting some volatility. I think they’re a little bit uncertain in terms of whether it’s going to be volatility to the upside or downside, but I think what that tells us is that they’re expecting something. I think Netflix is getting to a point where their shareholders want something a little bit more. Netflix right now is trading at about $70.84. So it’s been pretty quiet. It’s been pretty slow. They have an IV rank right now of about 65.2. So again, that lets us know there’s volatility imminent, or the market is pricing in expected volatility. And it could be coming from that earnings call that you just mentioned there.
And then for IBM as well. IBM has been another really slow one. This has been another product that hasn’t been trading in a massive range. But again, the way that the options market is pricing in these trades right now, they’re expecting something to happen. So I think a lot of these other underlyings that aren’t getting as much attention as Tesla and, you know, the Nasdaq and oil and bonds right now, I think they’re building a lot of momentum underneath the surface. And I think we’ll see that come through, especially after their earnings.
Remy Blaire: Well, thank you so much for joining us ahead of the weekend, Errol. Appreciate your time as well as all of your insights today.
Errol Coleman: Thanks, Remy.
