Too Many Options – $BAC and $AAPL Strong

by Enis May 6, 2013 5:15 pm • Commentary

Those 2 names dominated option volumes on an otherwise quiet day.

  1. BAC – Top 5 most traded lines in the market today were all BAC calls, as the stock rallied 5% after announcing a settlement with MBI.  The May 13 calls traded over 130k, and implied vol was 5 points higher.  The weekly 13 calls also traded over 100k.
  2. AAPL – Call to put ratio near the highs of its 3 month range, up to 1.75 today.  Stock traded at its highest level since March 25th.  The weekly 460 and 465 calls were the most active.
  3. MBI – The June 13 calls and the May 15 calls both traded over 10k as the stock was up 45% on the back of the BAC settlement.  Stock made a new 4 year high intraday (prior high was 14.96)
  4. INTC – Weak price action in the name, as it ended lower even after getting upgraded and on an up day for the market.  The May 25 calls traded over 25k, mostly midday, around 0.07.
  5. XOM – Buyer of 20k of the Oct 85 / 75 put spread paying 1.35.  $85 is major support in XOM so far this year.