If I were placing one of the bets I would likely bet against travel. It’s recovered the most so likely has an easier drop; nice big spike in November. I would not go out too far as I think this will likely be something that has to happen sooner rather than later—I don’t think the trade is a slow burn type potential. Either you’re going to see a move to say 22 quickly or options are not really a good vehicle for the trade.
I have not looked at of follow that ETF nor have I been closely following the industry. I would note a potentially unrelated item. The Philippines was planning to reopen schools in some of its provinces after the Christmas break. The administration just announce that has been suspended due to the new strain of virus. One might think similar concerns and thinking about the new strain would have an even larger impact on international travel and certainly any nonessential travel.
If I were placing one of the bets I would likely bet against travel. It’s recovered the most so likely has an easier drop; nice big spike in November. I would not go out too far as I think this will likely be something that has to happen sooner rather than later—I don’t think the trade is a slow burn type potential. Either you’re going to see a move to say 22 quickly or options are not really a good vehicle for the trade.
I have not looked at of follow that ETF nor have I been closely following the industry. I would note a potentially unrelated item. The Philippines was planning to reopen schools in some of its provinces after the Christmas break. The administration just announce that has been suspended due to the new strain of virus. One might think similar concerns and thinking about the new strain would have an even larger impact on international travel and certainly any nonessential travel.