WisdomTree Quality Stock Options
| DGRW Etf | USD 85.34 0.05 0.06% |
WisdomTree Quality's latest option contracts expiring on 2024-12-20 are carrying combined implied volatility of 0.21 with a put-to-call open interest ratio of 0.05 over 5 outstanding agreements suggesting investors are buying way more calls than puts on contracts expiring on 2024-12-20. The total put volume is at 1.0, with calls trading at the volume of 1.0. This yields a 0.01 put-to-call volume ratio.
Open Interest Against 2024-12-20 Option Contracts
WisdomTree Quality 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 WisdomTree Quality's lending market. For example, when WisdomTree Quality's 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 WisdomTree Quality, he or she must hedge the risk by shorting WisdomTree Quality stock over its option's life.
2024-12-20
The chart above shows WisdomTree Quality's 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. WisdomTree Quality's open interest chart also provides vital information regarding the liquidity of an option. If there is no open interest for WisdomTree Quality's option, there is no secondary market available for investors to trade.
WisdomTree Quality's option chain provides insight into all available option contracts written on WisdomTree Quality's stock. Investors can see outstanding put and call contracts with pricing information and greeks for a given expiration period. In addition, each of WisdomTree Quality's stock options below provides a detailed picture of the payoff. Comparing vital and dynamic information of various option contracts across diverse expiration periods will help you make an educated decision on your market timing strategies around investing in a given WisdomTree option contract.
In The Money vs. Out of Money Option Contracts on WisdomTree Quality
Analyzing WisdomTree Quality's in-the-money options over time can help investors to take a profitable long position in WisdomTree Quality regardless of its overall volatility. This is especially true when WisdomTree Quality's options are deep in the money. These options can be identified using deltas that are over 0.75. Deep in-the-money WisdomTree Quality's options could be used as guardians of the underlying stock as they move almost dollar for dollar with WisdomTree Quality's stock while costing only a fraction of its price.
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in WisdomTree Quality Dividend. Also, note that the market value of any etf could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area.
WisdomTree Quality In The Money Call Balance
When WisdomTree Quality's strike price is surpassing the current stock price, the option contract against WisdomTree Quality Dividend stock is said to be in the money. When it comes to buying WisdomTree Quality's 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 WisdomTree Quality Dividend 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.
WisdomTree Current Options Market Mood
WisdomTree Quality's 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 WisdomTree 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
Unfortunately, most WisdomTree Quality's options investors are not very successful. WisdomTree Quality's 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 WisdomTree contract
Base on the Rule 16, the options market is currently suggesting that WisdomTree Quality Dividend will have an average daily up or down price movement of about 0.0131% per day over the life of the 2024-12-20 option contract. With WisdomTree Quality trading at USD 85.34, that is roughly USD 0.0112. If you think that the market is fully incorporating WisdomTree Quality's daily price movement you should consider buying WisdomTree Quality Dividend options at the current volatility level of 0.21%. But if you have an opposite viewpoint you should avoid it and even consider selling them.
WisdomTree |
Purchasing WisdomTree Quality 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" WisdomTree calls. Remember, the seller must deliver WisdomTree Quality Dividend stock to the call owner when a call is exercised.
WisdomTree Quality Option Chain
When WisdomTree Quality's strike price is surpassing the current stock price, the option contract against WisdomTree Quality Dividend 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.
WisdomTree Quality's option chain is a display of a range of information that helps investors for ways to trade options on WisdomTree. In general, an option chain provides a helpful tool for investors to see all available option contracts, both puts, and calls, for WisdomTree. It also shows strike prices and maturity days for a WisdomTree Quality 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 | Expiration | Current Spread | Last Price | |||
Call | DGRW Option Call 20-12-2024 84 | 2 | 2024-12-20 | 1.35 - 2.25 | 1.3 | In |
Call | DGRW Option Call 20-12-2024 85 | 74 | 2024-12-20 | 0.8 - 1.25 | 0.95 | In |
Call | DGRW Option Call 20-12-2024 87 | 7 | 2024-12-20 | 0.0 - 0.7 | 0.3 | Out |
Put | DGRW Option Put 20-12-2024 79 | 1 | 2024-12-20 | 0.0 - 0.7 | 0.2 | Out |
Put | DGRW Option Put 20-12-2024 83 | 3 | 2024-12-20 | 0.0 - 1.0 | 0.95 | Out |
Check out Investing Opportunities to better understand how to build diversified portfolios, which includes a position in WisdomTree Quality Dividend. Also, note that the market value of any etf could be closely tied with the direction of predictive economic indicators such as signals in metropolitan statistical area. You can also try the Portfolio Comparator module to compare the composition, asset allocations and performance of any two portfolios in your account.
The market value of WisdomTree Quality is measured differently than its book value, which is the value of WisdomTree that is recorded on the company's balance sheet. Investors also form their own opinion of WisdomTree Quality's value that differs from its market value or its book value, called intrinsic value, which is WisdomTree Quality's 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 WisdomTree Quality's market value can be influenced by many factors that don't directly affect WisdomTree Quality's 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 WisdomTree Quality's value and its price as these two are different measures arrived at by different means. Investors typically determine if WisdomTree Quality is a good investment by looking at such factors as earnings, sales, fundamental and technical indicators, competition as well as analyst projections. However, WisdomTree Quality's 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.