Too Many Options: VIX active

by Enis November 5, 2012 4:54 pm • Commentary

Stock volumes were near 1 month lows, and options were no exception.  Here are some notable names in options today:

  1. VIX – Interesting that VIX stayed green the whole day, even as market rallied in the afternoon.  Biggest print was a buyer of 35k of the Nov 20 / 30 call spreads this morning, paying $0.78
  2. BAC – This was the most active single stock name, with the Nov 10 calls the most active.  1 month implied vol jumped 3 points, as buyers were dominant
  3. YHOO – The Jan13 20 calls traded more than 20k, after a buyer in the morning bought 12,500.  The stock’s 3 year highs are around 19.50, which was a sharp rejection area in mid-2010 and mid-2011
  4. AAPL – AAPL’s first +1% or more day in 2 weeks brought back the weekly call buyers.  The weekly 600 and 585 calls were the most traded lines
  5. C – Customer bought 15,750 of the Jan13 36 calls paying 1.79 at 3:19 pm, protecting some of the stock’s gains after its 35% run in the past 3 months
  6. GNRC – This generator provider is up more than 50% in the past 2 weeks, one of the few beneficiaries of devastating Sandy.  Stock was up 12%, and options traded more than 30x normal volume, with the Dec 40 and 35 calls the most active.
  7. EBIX – Stock down 14% after a midday announcement that the company was the subject of a SEC accounting probe.  Options traded almost 20x normal volume, with the Nov and Dec 15 puts the most active
  8. LMT – The Jan13 85 puts traded more than 13k, with the largest print coming from what looks like a buyer of 7,605 at 1.00 late in the afternoon.  Breakeven on that trade is a 11% move lower in the next 2 months.
  9. CVS – Stock reports earnings tomorrow morning.  Someone traded the Nov 46 / 47 risk reversal this morning, selling the 46 put, buying the 47 call, paying 0.12 for 5k.
  10. WTW – Weight Watchers traded 5x normal volume ahead of its earnings report tonight.  Stock trading up about 8% after hours.  Nov 47.5 and Nov 42.5 puts were most active