It's been a historic week so far for crude oil, which has dropped into negative territory for the first time ever. At a low of -$40 per barrel, sellers actually have to pay buyers to take delivery of oil. This is happening because there is a substantial lack of storage for oil with demand so low. Of course, there has been a huge amount of options activity in United States Oil ETF (USO) as a result of the huge move in oil prices. While some traders are looking for a quick rebound in USO, it looks like the biggest orders are those taking a bearish view.
Jay Soloff is the Options Portfolio Manager at Investors Alley. He is the editor for Options Floor Trader, an investment advisory bringing you professional options trading strategies, with all the bells and whistles of Wall Street, but simplified so all you have to do is enter the trades with your broker.
