Options

Options Trading Idea: Short Put On Consumer Stocks ETF (XLY)

The SPDR Consumer Discretionary ETF (XLY) dropped 0.9 percent last week, to $77.20, and looks poised to come under pressure medium-term. On a weekly chart, there have been back-to-back doji candles – as well as in four of the past five weeks. On a monthly chart, March through June produced additional dojis. Bulls and bears are battling it out on this consumer stocks ETF. Two weeks ago, the ETF broke

Unusual Options Activity: DAL, P, X, CVS, And More

It’s Sunday night so it’s time to review several stocks that had unusual options activity over the last week. Although traders can never be sure why these trades take place (or who is making them), I believe that it’s important to be aware of notable options activity as another indicator for directional bias. Here’s a weekly recap of 10 stocks that had unusual options activity and what, if any, significance these trades may have. Unusual Options

Top Trading Links: Tis The Season For Market Volatility

It’s Volatility season. All of a sudden the Dow Jones Industrials are below the 200 day moving average. Instability and uncertainty is emerging across the globe. More and more charts are breaking down and this seems like early stage correction stuff. On the flip side, hopefully you’re having a wonderful long weekend! Happy Birthday America! Here’s this week’s Top Trading Links.   MARKET INSIGHTS @RyanDetrick shows us that for whatever

5 Stocks With Unusual Options Activity (ARMH, ZAYO, SWFT, CY, ACE)

Unusual Options Activity Report Here’s a quick look at 5 stocks showing unusual options activity with some color around the trading setups and recent news about the companies. ACE Limited (ACE)- 2,000 Nov $100 puts were sold for $3.30. ACE is acquiring insurance competitor, Chubb, for $28.3B in a cash and stock deal. Earnings are due out on July 21st. Cypress Semiconductor (CY)- 9,000+ Sep $12 calls were bought for

Crude Oil Inventories Pressuring Nabors Stock (NBR)

The Uptick In Crude Inventories Is Leading To A Breakdown In Nabors Stock (NBR) The $4.5B oil driller earned more than $1 in EPS last year and is now projected to lose $0.22 and $0.12 this year and in 2016, respectively. The collapse in oil and gas prices is expected to cut sales in half from 2014 to 2016 ($3.4B-$3.5B). These projections may actually be too optimistic if this week’s

Welcome To July: When The VIX Comes To Life

Welcome to July, the month that has seen the highest average VIX return out of the entire year. Honestly, I first noticed this last year and was surprised by it. You’d think the dog days of summer are boring, but July is anything but that. Here is what the Volatility Index (VIX) has done the past 25 years. As you can see, July is up just over 10% on average

Consumer Discretionary ETF (XLY): Short Put Options Trade – Again

I believe the SPDR Consumer Discretionary ETF (XLY) may be primed for another short put options strategy. Last week, the ETF went on to rally 0.6 percent. Thus, the premium earned selling weekly June 26th 77 puts was kept. Could this work again on XLY? To refresh, in our hypothetical example on June 1, June 5th weekly 76.50 calls were sold for $0.47. At expiration, the calls were in the

Netflix (NFLX): An Options Strategy For Bearish Traders

Netflix (NFLX) stock has had a mammoth run up since early April moving from $420 to just over $700 in under 3 months. That’s an astonishing 68% return. Fantastic if you were able to take advantage of it. However, over the last 3 trading days, the stock has sold off on heavy volume and it makes sense that the stock would pause here or even have a mild pullback. The

Unusual Options Activity: CBS, MA, MU, RHT, And More

It’s Sunday night so it’s time to review several stocks that had unusual options activity over the last week. Although traders can never be sure why these trades take place (or who is making them), I believe that it’s important to be aware of notable options activity as another indicator for directional bias. Here’s a weekly recap of 10 stocks that had unusual options activity and what, if any, significance these trades may have. Unusual Options

5 Stocks With Unusual Options Activity (CHK, AMD, HCA, NCR, PVA)

Unusual Options Activity for June 25 2015 Here’s a quick look at 5 stocks showing unusual options activity with some color around the trading setups and recent news about the companies. Advanced Micro Devices (AMD) – Roughly 14,000 Aug $2.50 calls were purchased for $0.30. AMD is rumored to be looking at separating/ spinning off part of the business, but they have so far denied the Reuters report. AMD Micro