Options Update: How to Play XBI

The video tutorial discusses strategies for hedging against market volatility due to major events like elections, OPEC meetings, and Federal Reserve decisions. It highlights the use of ETFs for hedging, focusing on the healthcare sector's performance amid political changes. The tutorial also explores contrarian investment strategies in biotech ETFs, emphasizing the importance of understanding market implications and potential sector movements.

What is the suggested strategy for hedging against election outcomes?

• Buying December expiration call options

• Selling November expiration put options

• Buying December expiration put options

• Selling December expiration call options

Which sector is identified as having potential vulnerabilities due to political developments?

• Consumer Goods

• Energy

• Healthcare

• Technology

What is the performance trend of the healthcare sector since July?

• Second worst performing sector

• Best performing sector

• Third worst performing sector

• Most stable sector

What is the implied move for the XBI ETF through the Friday expiration after the election?

• 5%

• 8%

• 10%

• 12%

What was the market reaction to the news of the FBI letter in the healthcare sector?

• Healthcare sector jumped

• Healthcare sector remained stable

• Healthcare sector declined

• Healthcare sector was unaffected