$ZETA has an implied volatility of 17% for its earnings today
Over the last 3 earnings reports, $ZETA has had significantly lower volatility than what options markets were pricing
Last 3 earnings reports:
20% implied vs. 5% actual
17% implied vs. 1% actual
25% implied vs. 11% actual
Due to this data, I decided to sell a few covered calls just outside of the 17% expected move at the $37 strike
This trade will act as a good hedge if $ZETA falls and it should also be easy profit if $ZETA goes up because i'm not expecting it to go up 17% or more
Data from
@SkylitAI tempest