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Tesla option volume relatively light as traders brace for 10% earnings move

Tesla (TSLA) option volume relatively light as traders brace for 10% earnings move. Shares up nearly $14, or 6%, at midsession near $241.65 with just over 1 million contracts trading and calls slightly ahead of puts. Near term straddle indicates an expected move near 10%, or about $25, following results which is slightly below the average 11.3% move over the past 8 qtrs. Nearly 10% of the Tesla option open interest is in this week’s expiry- including 38k 50 strike (79% otm) puts opened last week for 2cents and 20k 125.04 strike flex puts opened yesterday for 25c. Earnings in January saw shares lift 2.9% to just over $400.

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