
It’s a quiet week on the earnings front with just a handful on big names companies reporting. This week we have Crowdstrike (CWRD), Salesforce (CRM), Snowflake (SNOW) and Marvell Technologies (MRVL) as the main stock s to watch.
Before a company reports earnings, implied volatility is usually high because the market is unsure about the outcome of the report. Speculators and hedgers create huge demand for the company’s options which increases the implied volatility, and therefore, the price of options.