Options Report

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Open Interest Updates From The Previous Trading Days Action

Gilead Sciences (GILD)- May 15 $90 put open interest went from 19,233 to 22,465 contracts, May 15 $100 call open interest went from 20,521 to 25,574 contracts, and May 15 $115 call open interest went from 7,877 to 12,938 contracts (bull call spread risk reversal put on for a $2.60 debit).
McDonald’s (MCD)- June $97.50 call open interest went from 17,290 to 42,008 contracts (more buying yesterday).
PDL BioPharma (PDLI)- May $7 call open interest went from 2,476 … Read More »

Smart Money Report

AAL- A likely rollout from 3,500 Dec 5 weekly $46.50 calls (credit) into 4,880 Dec 5 weekly $48.50 calls (debit). Volume above the open interest in the Dec 5 weekly $48.50 calls. My article on American Airlines from Thursday
LGF- 7,000 Dec $37 calls were bought for $0.40 each, against open interest of 12,306 contracts. There was large buying in these Lions Gate Entertainment calls on November 20th. Implied volatility initially rose 9.4% to 38.66. Shares of (LGF) are now retesting the $35-$36 resistance level.
MRO- A rollout from 2,000 Dec 20 $31 puts (credit) into 3,500 Jan 17 2015 $27 puts (debit). Volume was above the open interest in the Jan 17 2015 $27 puts. This trader is taking profits on the December Marathon Oil puts and is extending the trade an additional month with expectations of new lows … Read More »

 Unusual Options Activity

In today’s Unusual Options Activity Report we highlight a call rollout in American Airlines (AAL) and put selling in the Market Vectors Russia ETF Trust (RSX).

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Smart Money Report

BABA- 10,000 Nov 22 $91 puts were sold for $2.80 each, against open interest of 59 contracts. Alibaba earnings are due out on 11/4 (this being their first report as a publicly traded company). The options market is currently pricing in about a $7.50 move through that week.
CBSO- The Nov 22 $30 straddle was put on 6,000 times for a $1.61 credit. Volume was above the open interest in both options. Earnings are due out on 11/4. The trader is betting on a move above $31.61 or below $28.39 in CBS Outdoor Americas on November monthly options expiration.
CSCO- 17,000 Nov 22 $23 puts were purchased for $0.44-$0.47 each, against open interest of 11,372 contracts. Cisco Systems earnings are due out on 11/12. The stock has dropped after earnings on 5 out of the last 7 reports.
RSX- A rollout … Read More »

 Unusual Options Activity

In today’s Unusual Options Activity Report we highlight call buying in the Russia Equity ETF (RSX) and a call rollout in Xilinx (XLNX).

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Smart Money Report

AAPL- A likely rollout from 76,000 Sep 20 $105 calls (credit) into 20,000 Sep 26 weekly $103 calls (debit). Volume was above the open interest in the Sep 26 weekly $103 calls. The call to put ratio in Apple is nearly 3:1.
AGCO- A rollout from 1,800 Feb 2015 $55 puts (credit) into 3,000 Feb 2015 $50 puts (debit). Volume was above the open interest in the Feb 2015 $50 puts. AGCO shares have been trending lower since October (making new lows this week).
JPM- 9,772 Jan 2015 $60 calls were bought for $2.15 each, against open interest of 89,466 contracts. Open interest has gone from 49,611 on 8/21 to 89,466 before today’s action. Roughly 40,000 were bought from 8/21-8/26.
RICE- The Jan 2015 $30/$35 call spread was put on 2,970 times for a $1.50 debit. Volume was below the open … Read More »

Unusual Options Activity

In today’s Unusual Options Activity Report we highlight call buying in JPMorgan Chase (JPM) and a put spread in the Market Vectors Russia ETF (RSX).

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Smart Money Report

C- 10,000 June 2015 $55 calls were bought for $2.82 each, against open interest of 649 contracts. The stock recently broke out above the resistance at the $50-$51 level that had been in place for most of the year (now has clear skies to the mid $50’s). Citigroup trades at a P/E ratio of 9.73x (2015 estimates) with 47.5% EPS growth (-17.1% this year), 3% revenue growth (0.3% this year), P/S ratio of 2.31x, P/B ratio of 0.78x, 0.08% dividend yield, and has an average average analyst price target of $57.82. On 7/15, Oppenheimer raised their price target to $68 from $67.
EXAS- 3,000 Sep $24 calls were sold for $1.20-$1.25 each, against open interest of 3,576 contracts. This morning Goldman Sachs raised their price target on EXACT Sciences to $26 from $19.
MCD- Another 4,000 Jan 2016 $100 calls … Read More »