Options Update: How to Play Netflix

The video discusses recent market trends, focusing on the impact of the end of QE 3 and rising volatility. It explains the concept of contango and backwardation in options, indicating potential market movements. The video also analyzes Netflix's stock performance post-earnings, highlighting increased competition and volatility in the streaming sector.

What was identified as a major catalyst for the recent market downturn?

• The end of QE 3

• Rising oil prices

• Increased consumer spending

• New trade agreements

What does the term 'contango' refer to in options trading?

• A flat volatility structure

• An upward sloping volatility structure

• A random volatility structure

• A downward sloping volatility structure

What is the speaker's outlook on the market given the current state of backwardation?

• Indifferent to market changes

• Expecting a stable market

• Cautious with potential for more downside

• Optimistic about immediate recovery

What recent event affected Netflix's stock performance?

• A new product launch

• Earnings report and competition

• A merger announcement

• A change in leadership

How did the options market react to Netflix's earnings report?

• Volatility decreased significantly

• Volatility remained unchanged

• Volatility increased, indicating a potential downside

• Volatility increased, indicating a potential upside