Midday Unusual Options Activity Update: BBY, UTHR, HL, ADBE, TRGT, RENN
Implied Volatility Mover And Volume Signals For Midday 12/12/2011
Implied Volatility Mover
Pre-earnings action is lifting the implied volatility of Best Buy (BBY) options today. Shares of the electronics retailer are off 43 cents to $27.68. Meanwhile, options volume on the stock is running 2.5X the daily average. 17,000 calls and 8,800 puts traded in BBY so far. Players are focused on December 28, 29 and 30 calls ahead of the results and implied volatility moved up 12 percent to 56.5. The company is due to release its profit report Tuesday morning.
Volume Signals
United Therapeutics (UTHR) options volume is running 91X the (22-day) average, with 40,000 contracts traded and call activity accounting for 57 percent of the volume.
Hecla Mining (HL) options volume is 2.5X the average daily, with 38,000 contracts traded and call volume representing 92 percent of the activity.
Adobe (ADBE) options volume is running 3.5X the average daily, with 27,000 contracts traded and call volume representing 50 percent of the total volume.
Increasing options activity is also being seen in Best Buy (BBY), Targacept (TRGT), and RenRen (RENN).
------------------------------------------------------------------------------------------
Disclaimers
This article is provided for informational purposes only. No statementin this article should be construed as a recommendation to buy or sell asecurity or to provide investment advice. The content provided has beenobtained from sources deemed reliable but is not guaranteed as toaccuracy and completeness. optionsXpress makes every effort to providetimely information to its recipients but cannot guarantee specificdelivery times due to factors beyond our control.
Derivatives involve substantial risk and are not appropriate for all investors. Please read the "Disclosure Statement for Futures and Options" prior to investing in futures or options.
For investments using a straddle or strangle options strategy thepotential loss is unlimited. Multi-leg option strategies are subject tomultiple commissions. Profits may be eroded by the commission expendedto open and close the positions and other risks apply.
"
About Joseph Cusick
Joseph Cusick currently serves as the Senior Vice President of Education and a Senior Market Analyst for optionsXpress. Mr. Cusick seeks out common sense and technologically scalable educational pathways for self-directed investors of all experience levels. He is largely responsible for ramping up delivery of online and offline seminars to customers and potential clients worldwide. Prior to serving in his current role, Mr. Cusick immersed himself in the broker side of optionsXpress by managing his own book of business. Prior to joining optionsXpress, Mr. Cusick served as a market maker and portfolio manager at the Chicago Board of Options Exchange. Joseph is a graduate of Marquette University and holds his Series 4, 7 and 63 registrations with FINRA.
View Joseph Cusick's post archive >
