Posts Tagged ‘CIEN’

Upside Call Buyers Enjoy Gains As Shares In Ciena Corp. Rise

Options brief will resume April 12, 2013.

Today’s tickers: CIEN, TITN & KKR

CIEN - Ciena Corp. – Shares in networking products and services provider, Ciena Corp., jumped 8.0% on Wednesday morning to and intraday high of $16.81, rising in sympathy with ADTRAN after that company reported better-than-expected first-quarter earnings and revenue after the closing bell on Tuesday. Some options traders are benefitting handsomely from the pop in Ciena’s shares today, having purchased upside calls on the stock yesterday. The largest increase in call open interest on CIEN since the prior session was in the April $16 strike calls. Time and sales data indicates some 5,000 of the $16 calls were purchased yesterday for an average premium of $0.21 apiece. The sharp rally in the price of the underlying today has more than tripled the value of the $16 calls overnight, with the contracts currently changing hands at $0.72 each as of midday in New York. Meanwhile, traders initiating bullish bets on Ciena Corp. today looked to the April $18 strike, buying up around 3,000 call options for an average premium of $0.09 per contract. Buyers of the $18 calls stand ready to profit at expiration should shares in the name rally another 8.0% to top the average breakeven point at $18.09 by expiration next week. Bulls also snapped up more than 1,200 calls at the May $18 strike this morning at an average premium of $0.35 each.

TITN - Titan Machinery, Inc. – Bearish options purchased on Titan Machinery yesterday ahead of the backhoe manufacturer’s fourth-quarter earnings report are generating sizable overnight paper profits for some traders today, with shares in the name plunging to the lowest level since November of 2012. TITN shares are currently down 16% on the session at $21.95 as of 12:15 p.m. ET. It looks traders picked up around 1,600 puts at the April $25 strike on Tuesday, the nearest to-the-money strike price available with shares in Titan Machinery closing the session at around $26.14. Put buyers paid $0.90 in premium per contract…
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Large Bearish Play In Exxon Mobil Options

 

Today’s tickers: XOM, CIEN & ZAGG

XOM - Exxon Mobil Corp. – Shares in Exxon Mobil are roughly flat on the session, trading 0.10% higher on the day $90.75 as of 10:55 a.m. ET ahead of the company’s fourth-quarter earnings report tomorrow before the open. A large put spread initiated on XOM in the early going today indicates one big options market participant is positioning for the price of the underlying to potentially pullback sharply during the next six months. The trader appears to have purchased a 30,000-lot July $77.5/$87.5 put spread for a net premium of $1.89 apiece. The spread makes money if shares in XOM decline 5.7% from the current price of $90.75 to breach the effective breakeven point on the downside at $85.61. Maximum potential profits of $8.11 per contract are available on the spread should shares in Exxon plunge nearly 15% to $77.50 by July expiration. Interestingly, a similar protective play was established on ConocoPhillips yesterday prior to that company’s earnings release after the close on Wednesday. Shares in Conoco are down roughly 5.0% today at $58.08 after the company’s projection for total production in 2013 was lower than 2012 production. Wednesday’s large COP trade, the purchase of a roughly 50,000-lot $57.5/$47.5 put spread at a net premium of $1.80 each, makes maximum profits of $8.20 per contract should shares in ConocoPhillips drop 18% from the current price of $58.08 to $47.50 by August expiration.

CIEN - Ciena Corp. – Bullish options on Ciena Corp. are changing hands at a clip this morning, with shares in the communications equipment provider up 6.5% on the session to stand at $15.55 as of 11:15 a.m. ET in New York trading. Ciena’s shares are rising in sympathy with JDS Uniphase Corp, after better-than-expected second-quarter earnings released from the company after the close on Wednesday sent its shares up more than 18% today. Ciena reports first-quarter earnings in March, and some traders appear to be establishing bullish bets on the stock to position for shares to extend gains. Upside call buyers looked to the Mar. $16…
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Molson Coors Shares Fizzle After Earnings Amid Down-Day For Stocks

 

Today’s tickers: TAP, PFE & CIEN

TAP - Molson Coors Brewing Company – Shares in the beer brewing company are on the decline today, joining the broad-based sell-off in equities as investors re-focus attention on the debt crisis in Europe and looming fiscal cliff in the U.S. with the conclusion of Tuesday’s Presidential election. Molson Coors shares are down roughly 4% as of 12:10 p.m. ET to stand at $41.48 after the company reported better-than-expected third-quarter profits, but missed revenue estimates, ahead of the opening bell this morning. One or more options traders appear to be bracing for further declines in the price of the underlying shares during the five months. It looks like strategists purchased more than 1,000 puts at the April 2013 $40 strike for an average premium of $1.90 per contract. The bearish puts may be profitable at expiration if TAP’s shares drop more than 8% from the current level to breach the average breakeven price of $38.10 at expiration next year. Shares in Molson Coors Brewing Co. last traded below $38.10 in June.

PFE - Pfizer, Inc. – Pharmaceuticals giant, Pfizer, Inc., is trading well off its lowest level of the session at present, down 0.95% at $24.26 as of 12:40 p.m. ET after earlier sliding as much as 2% to an intraday low of $23.99 on Wednesday morning. Heavy trading traffic in weekly options with two full trading sessions remaining to expiration indicates short-term bets on the stock are looking for shares to move. The bulk of the volume is in weekly calls looking for a quick rebound in the price of the underlying, though buyers did generate some traffic in the weekly puts as well. Weekly options volume is greatest in the Nov. 09 ’12 $25 strike call where upwards of 9,700 lots changed hands against open interest of 6,548 contracts. Most of the calls in play this morning appear to have been purchased for an average premium of…
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Option Traders Remain Skeptical Over Real Estate Shares

Today’s tickers: IYR, CIEN, FXI, MTB, TGT, MTW & HURN

IYRBearish option traders honed in on puts in the January 2010 contract of the U.S. real estate ETF. Such positioning indicates that the current 1.5% rally in shares to $38.17 today will not last. Pessimists picked up 10,000 puts at the in-the-money January 40 strike price for 6.23 apiece and spread the purchase against the sale of 20,000 puts at the lower January 25 strike for an average premium of 86 cents each. The net cost of the ratio put spread amounts to 4.51 and yields maximum potential profits of 10.49 per contract if the IYR plummets 35% to $25.00 by expiration in January. Shares must decline 7% from the current price before profits begin to accumulate beneath the breakeven price of $35.49. – iShares Dow Jones U.S. Real Estate Index –

CIENBullish action on the maker of transmission and switching systems for fiber-optic communication networks pushed Ciena onto our ‘hot by options volume’ market scanner this afternoon. Demand for near-term call options has surged amid a more than 7% rally in shares to $12.58. More than 16,000 calls were coveted at the August 12.5 strike price for an average premium of 19 cents apiece. We note that investors who paid 19 cents just before 1 pm EDT were rewarded for beating the crowd. Traders currently (2 pm EDT) looking to get long the same calls must now shell out 45 cents per contract. Those individuals who paid an average of 19 cents will begin to bank profits if shares surpass the breakeven point at $12.69 by expiration on Friday. Option implied volatility on CIEN is currently slightly higher to stand at 73% from an intra-day low of 69%. – Ciena Corp. –

FXILong-term downside protection was scooped up by traders bracing for potential declines in the China exchange-traded fund by expiration in February 2010. Shares of the FXI are currently enjoying a more than 2% rally to $40.02. Approximately 15,000 puts were picked up at the February 38 strike price for an average premium of 4.20 per contract. Downside protection on a long position in the underlying, or profits on a short position, will kick in if the fund declines 15.5% from the current price to breach the breakeven point at $33.80 by expiration. – iShares FTSE/Xinhua China 25 Index Fund –

MTBShares of the bank holding company
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Phil's Favorites

Why are Atlantic and Gulf coast property owners building back bigger after hurricanes?

 

Why are Atlantic and Gulf coast property owners building back bigger after hurricanes?

Surf threatens beach houses on Dauphin Island, Alabama, September 4, 2011 during Tropical Storm Lee. AP Photo/Dave Martin

Courtesy of Eli Lazarus, University of Southampton and Evan B. Goldstein, University of North Carolina – Greensboro

U.S. coastal counties are densely populated and extensivel...



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Zero Hedge

Russian And South Korean Fighter Jets Face Off In "Mid-Air Confrontation"

Courtesy of ZeroHedge. View original post here.

For the first time since the fall of the Soviet Union, Russian jets flying through South Korean airspace provoked the South Korean military into a "midair confrontation" that involved firing hundreds of warning shots. All told, South Korean jets fired 360 machine-gun rounds and at least 20 flares, Bloomberg reports.

Three Russian military planes (two Tu-95 bombers and one A-50 airborne early warning and control aircraf...



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The Daily Biotech Pulse: Acadia Schizophrenia Drug Fails, Viveve Plummets, Eisai Gets Breakthrough Therapy Designation

Courtesy of Benzinga.

Here's a roundup of top developments in the biotech space over the last 24 hours.

Scaling The Peaks

(Biotech stocks hitting 52-week highs on July 22)

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Kimble Charting Solutions

Is Crude Oil Sending a Bearish Message to the Stock Market?

Courtesy of Chris Kimble.

Crude Oil (NYSEARCA: USO) and the S&P 500 Index (INDEXSP: .INX) have peaked and bottomed together several times in the past 9 months. See points (1) and (2) on the chart above.

In summary, the correlation between Oil and the stock market has been quite interesting and demands investors attention.

Crude Oil has been creating lower highs of late and is breaking price support at (3).

If the correlation remains the same, Crude Oil may very well be sending a bearish message to stocks.

Tricky spot for active investors – careful here.

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Chart School

RTT Plus Chart Book (Sneak Peak)

Courtesy of Read the Ticker.

The magic of support and resistance channel lines and how they direct price. Here are some chart disclosed to members via the RTT Plus service. All charts are a few weeks old. 


XAU bound by parallel channel lines.


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Newmont Mining support from Gann Angles.



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US Dollar index (DXY) dominate cycle ...

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Digital Currencies

Cryptos Suddenly Panic-Bid, Bitcoin Back Above $10k

Courtesy of ZeroHedge. View original post here.

Following further selling pressure overnight, someone (or more than one) has decided to buy-the-dip in cryptos this morning, sending Bitcoin (and most of the altcoins) soaring...

A sea of green...

Source: Coin360

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Biotech

DNA testing companies offer telomere testing - but what does it tell you about aging and disease risk?

Reminder: We're is available to chat with Members, comments are found below each post.

 

DNA testing companies offer telomere testing – but what does it tell you about aging and disease risk?

A telomere age test kit from Telomere Diagnostics Inc. and saliva. collection kit from 23andMe. Anna Hoychuk/Shutterstock.com

Courtesy of Patricia Opresko, University of Pittsburgh and Elise Fouquerel, ...



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ValueWalk

Professor Shubha Ghosh On The Current State Of Gene Editing

 

Professor Shubha Ghosh On The Current State Of Gene Editing

Courtesy of Jacob Wolinsky, ValueWalk

ValueWalk’s Q&A session with Professor Shubha Ghosh, a professor of law and the director of the Syracuse Intellectual Property Law Institute. In this interview, Professor Ghosh discusses his background, the Human Genome Project, the current state of gene editing, 3D printing for organ operations, and gene editing regulation.

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Members' Corner

Despacito - How to Make Money the Old-Fashioned Way - SLOWLY!

Are you ready to retire?  

For most people, the purpose of investing is to build up enough wealth to allow you to retire.  In general, that's usually enough money to reliably generate a year's worth of your average income, each year into your retirement so that that, plus you Social Security, should be enough to pay your bills without having to draw down on your principle.

Unfortunately, as the last decade has shown us, we can't count on bonds to pay us more than 3% and the average return from the stock market over the past 20 years has been erratic - to say the least - with 4 negative years (2000, 2001, 2002 and 2008) and 14 positives, though mostly in the 10% range on the positives.  A string of losses like we had from 2000-02 could easily wipe out a decades worth of gains.

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It's Not Capitalism, it's Crony Capitalism

A good start from :

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Excerpt:

The threat to America is this: we have abandoned our core philosophy. Our first principle of this nation as a meritocracy, a free-market economy, where competition drives economic decision-making. In its place, we have allowed a malignancy to fester, a virulent pus-filled bastardized form of economics so corrosive in nature, so dangerously pestilent, that it presents an extinction-level threat to America – both the actual nation and the “idea” of America.

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OpTrader

Swing trading portfolio - week of September 11th, 2017

Reminder: OpTrader is available to chat with Members, comments are found below each post.

 

This post is for all our live virtual trade ideas and daily comments. Please click on "comments" below to follow our live discussion. All of our current  trades are listed in the spreadsheet below, with entry price (1/2 in and All in), and exit prices (1/3 out, 2/3 out, and All out).

We also indicate our stop, which is most of the time the "5 day moving average". All trades, unless indicated, are front-month ATM options. 

Please feel free to participate in the discussion and ask any questions you might have about this virtual portfolio, by clicking on the "comments" link right below.

To learn more about the swing trading virtual portfolio (strategy, performance, FAQ, etc.), please click here ...



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Promotions

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In My Top Strategies for 2017, Phil's chapter is Secret Santa’s Inflation Hedges for 2017.

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About Phil:

Philip R. Davis is a founder Phil's Stock World, a stock and options trading site that teaches the art of options trading to newcomers and devises advanced strategies for expert traders...

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