Can you help me understand how to trade on this data? Does it help in determining the direction of a stock? From an option point of view, what is it suggesting? What types of positions should one consider depending on what it is showing?
Red Line is the Suggested Price to add the spread. (Roll the spread if needed). There are way option strategies to trade earnings. It always helps determining the direction of the stock, would not recommend on a binary event. Follow the link to my blogpost, I shared a way to trade SNDK from yesterday's closing price.