Too Many Options: $XLF, $MSFT, $FB, $HLF, $CIT

by Enis July 22, 2013 5:17 pm • Commentary

Very low options and stock volumes today, but here were the standouts.

  1. XLF – The August 21/20 1×2 put spread traded, 39k x 78k times for 0.25, likely someone rolling up the long Aug 20 puts up to the Aug 21 put strike.
  2. MSFT – Stock rebounded 2% after Friday’s massacre, and calls were quite active.  The Oct 30 / Jan14 32 Call Diagonal traded over 40k for around 0.73 in the morning.
  3. FB – August 30 calls traded almost 30k, with one large buyer of 15k for 0.18 in the afternoon.  Company reports earnings after the close on 7/24.
  4. HLF – August calls were very active as the stock made a new 1 year high.  The August 70 and 60 calls both traded over 7k.  Company reports earnings on 7/29.
  5. CIT – Stock reports earnings tomorrow morning.  Seller of 11k of the August 50 calls at 0.68 midday (5k open interest). Stock has not traded above $50 since exiting bankruptcy in 2009.