Smart Money Report

1. MRK- Merck is set to announce Q3 earnings before the bell on Monday. Analysts are looking for $0.88 in EPS and revenue of $11.1 billion. Options traders are pricing in a $1.38 move, or 3%, in either direction through next Friday’s close. The call to put ratio in (MRK) options is currently 2.33, but the largest option trade of the day was a seller of 5,500 Jan. 2014 $45 calls for $1.80 each.
2. CCL- The Jan. 2016 $50/$55 call spread was put on 2,849 times for a $0.35 debit. Volume was above the open interest in both options. He/she is looking for a nearly 60% rise by January 2016 options expiration in shares of Carnival.
3. LRCX- 2,275 Jan. 2015 $52.50 calls were purchased for $8.20 each, against open interest of 106 contracts.
4. XLI- 5,500 Mar. 2014 $54 calls were purchased for $0.16 each, against open interest of 289 contracts.
5. AAPL- Apple shares are down 0.41% today, hitting a nine month high earlier in the session. The call to put ratio in (AAPL) options is 2.49, led by activity in the Oct. 25 weekly $530 and $535 calls.

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AAPL CCL LRCX MRK Smart Money Report unusual options activity XLI