Too Many Options: $TSLA, $AAPL, $CSCO, $SLB, $ITUB

by Enis September 20, 2013 5:03 am • Commentary

Call buying dominated volumes once again, and September options were very active ahead of expiry tomorrow.

  1. TSLA – New all-time high in TSLA.  Options volumes were double the 1 month average.  The weekly 180 calls, the weekly 170 puts, and the weekly 175 calls and puts all traded over 14k.  Outside of Sept, the Oct 175 calls were the most active line, where implied vol was more than 4 points higher on the day.
  2. AAPL – Weekly 475 calls and weekly 470 puts traded over 40k.  AAPL implied vol remains elevated (30 day around 26.5) ahead of the opening weekend iPhone sales.
  3. CSCO – Looks like a seller to close of more than 20k of the Jan14 22 calls at around 2.80.  The bulk of the open interest on this line of options was bought between 1 and 1.50 in the first half of 2013.
  4. SLB – Oct 90 calls traded over 14k on the day, buying to open.  SLB is about 15% higher since its July earnings beat.
  5. ITUB – Brazilian equities have been on a tear in the past month.  Trader bought 12,300 of the Jan14 15 calls for 0.80 in ITUB, a Brazilian bank.