Posts Tagged ‘XOP’

Sharp Rally A Boon To Citrix Systems Call Buyer

Today’s tickers: CTXS, XOP & HL

CTXS - Citrix Systems, Inc. – Shares in Citrix Systems, Inc. rallied to their highest level since the end of July after the company reported third-quarter earnings and fourth-quarter estimates that beat expectations. The stock currently trades 15.2% higher on the session at $73.99, after soaring as much as 21.5% to an intraday high of $78.00. Huge gains in the price of the software maker’s shares appears to have worked out nicely for one options player who may be taking profits off the table today. Citrix call activity spiked in the first 30 minutes of the session after large numbers of deep in-the-money and out-of-the-money calls changed hands in the November contract. It looks like the investor may have snapped up around 4,875 calls at the Nov. $65 strike for a premium of $4.10 each back on October 18, when shares in Citrix closed the day at $64.50. The massive rally in the price of the underlying stock today more than doubled premium required to purchase Nov. $65 call options. The investor appears to have sold the batch of calls purchased on Oct. 18 this morning for an average premium of $11.07 per contract. Average net profits on the sale amount to $6.97 per contract. Finally, the sale of the call options was tied to the opening purchase of roughly 4,800 Nov. $75 strike calls for an average premium of $3.93 apiece. The fresh bullish stance may be profitable if shares in Citrix Systems extend gains through expiration next month. Profits are available on the new position if shares in CTXS increase another 6.6% over the current price of $73.99 to surpass the average breakeven point at $78.93 at expiration day. Options implied volatility on the stock fell 19.3% to a two-month low of 45.35% this afternoon.

XOP - SPDR S&P Oil & Gas Exploration & Production ETF – The buyer of a large batch of put options on the XOP may have cut his losses this morning on the heels of a more than 8.0% rally in the price of the underlying since the bearish position was initiated. Shares in the XOP, an exchange-traded fund that tracks the performance of an index derived from the oil and gas exploration and production segment of a U.S. total market composite index, are up 4.9% today at $55.85 just before 1:00 pm EDT. On Tuesday, options volume at the Nov.…
continue reading


Tags: , ,




Near-Term Bulls Shop Around for Call Options at Newell Rubbermaid

Today’s tickers: NWL, GRS, OIH, HIG, EWZ, MBT & XOP

NWL - Newell Rubbermaid, Inc. – The global marketer of everyday commercial and consumer products popped up on our ‘hot by options volume’ market scanner during the second half of the trading session due to bullish activity in the December contract. Shares in Newell Rubbermaid are up 3.35% to stand at $17.33 with 45 minutes remaining before the final bell. Options traders exchanged more than 3,460 call options at the December $17.5 strike, versus previously existing open interest of just 980 contracts. It looks like more than 3,000 of the calls were purchased for a premium of $0.35 per contract. Plain-vanilla call buyers are prepared to make money should shares increase another 3.00% to exceed the effective breakeven point to the upside at $17.85 ahead of December expiration day. Rubbermaid’s shares last traded above $17.85 as recently as November 5, 2010.

GRS - Gammon Gold, Inc. – Bullish players picked up call options on the gold mining company today with shares of the Halifax, Nova Scotia-based firm climbing 1.2% to $6.77 in the final hour of the session. Investors expecting Gammon’s shares to extend gains purchased more than 3,000 calls at the January 2011 $7.0 strike for a premium of $0.43 apiece. Call buyers at this strike are poised to profit should shares in Gammon Gold surge 9.75% over the current price of $6.77 to surpass the effective breakeven point at $7.43 by January expiration. More than 3,280 calls changed hands at the Jan. 2011 $7.0 strike, which is more than six times the number of contracts represented by the 531 lots of previously existing open interest at that strike. Bullish sentiment spread to the March 2011 $7.5 strike where another 1,000 call options were purchased for premium of $0.48 each.…
continue reading


Tags: , , , , , ,




Bullish Bedlam on UnitedHealth in Late-Day Trading

Today’s tickers: UNH, F, EZCH, FBP, XOP, F, BMY, KFT, UNT, TIVO, ADBE & AMED

UNH – UnitedHealth Group, Inc. – Bullish investors stampeded the health and well-being company in late afternoon trading with shares up 3% to a new 52-week high of $32.25. Frenzied call activity on the stock drove option implied volatility up sharply by 19.5% to 45.17% from an intraday low of 37.37%. One investor was ready for the rally today, and banked profits on a previously established call position. The trader likely purchased about 20,000 calls at the now deep in-the-money December 23 strike price for a maximum premium of 3.00 per contract back on October 8, 2009, when UNH shares were at $24.13. Today the trader sold the calls for an average premium of 8.95 each. It looks like the investor took in net profits on the sale of at least 5.95 per contract for a total of $11.9 million. Next, it appears the trader extended bullish sentiment on the stock by establishing a larger call position. A big chunk of 30,000 calls were picked up at the now in-the-money January 31 strike for an average premium of 2.20 each. Thus, the trader breaks even on the new position if shares surpass $33.20 by expiration next month. Other bullish traders initiated call spreads on the stock. One UNH-bull bought 5,000 calls at the in-the-money January 31 strike for about 2.12 apiece, and sold the same number of calls at the higher January 34 strike for 70 cents premium each. The net cost of the spread amounts to 1.42 per contract and yields maximum potential profits of 1.58 apiece if shares rally up to $34.00 by January’s expiration day.

F – Ford Motor Co. – A late afternoon, large-volume put spread on the U.S. automaker is likely the work of an investor locking in gains enjoyed during Ford’s recent share price rally. Shares reached a new 52-week high of $9.64 during the trading session. The option trader looked to the March 2010 contract to purchase 18,000 puts at the March 9.0 strike for 62 cents apiece, spread against the sale of the same number of puts at the lower March 7.0 strike for 16 cents premium each. The net cost of the protective play amounts to 46 cents per contract. If the investor is indeed holding a long position in the underlying, the value of that…
continue reading


Tags: , , , , , , , , , ,




Option Traders Latch Onto Rambus Chatter

Today’s tickers: RMBS, BIIB, IYF, OSK, GNW, XOP & S

RMBS - The latest from the rumor mill suggests that the memory chip maker may be the target of a buyout by Samsung Electronics for approximately $25.00 to $27.50 per share. Some analysts reported that such rumors are likely unfounded, and we should note also this is currently idle market chatter. Nevertheless, frenzied options activity was observed on the stock amid a more than 8% rally to $17.22. Option traders concentrated their efforts on out-of-the-money calls in the near-term September contract. Nearly 6,000 calls were picked up at the September 18 strike for about 68 cents each. The higher September 19 strike had 5,000 calls purchased for an average of 47 cents apiece. Finally, the most bullish investors looked as high as the September 20 strike to gather up more than 8,000 calls for 37 cents per contract. Rumors remain unconfirmed, but traders holding the call options are positioned to bank some serious profits if the buyout speculation proves accurate by expiration this month. – Rambus Inc. –

BIIB - The largest maker of medicines for multiple sclerosis announced that it has extended an unsolicited takeover bid, worth $356 million in cash, for its drug partner Facet Biotech Corporation. Shares of BIIB rose more than 2% during the session to the current price of $51.03. Perhaps the takeover bid inspired the bullish reversal strategy we observed in the April contract today. One investor appears to have shed 10,000 puts at the April 35 strike price for a premium of 90 cents apiece in order to partially offset the cost of purchasing 5,000 calls at the higher April 55 strike for 3.80 each. The net cost of the transaction amounts to 2.00 per contract. The investor responsible for the trade will begin to accrue profits if shares of BIIB rally approximately 12% from the current price to breach the breakeven point at $57.00 by expiration day. – Biogen IDEC, Inc. –

IYF - Shares of the IYF have moved slightly higher during the session, gaining less than 0.5% to arrive at the current price of $50.09. The ETF jumped onto our ‘most active by options volume’ market scanner this afternoon after a large bullish reversal play was initiated in the November contract. We note that the transaction was tied to stock. The investor responsible for the trade shed 20,000 puts at the November 40…
continue reading


Tags: , , , , , ,




 
 
 

Phil's Favorites

Movie theaters are on life support - how will the film industry adapt?

 

Movie theaters are on life support – how will the film industry adapt?

A movie theater in Brea, Calif., has shuttered its doors due to the coronavirus pandemic. AP Photo/Jae C. Hong

Courtesy of Matthew Jordan, Pennsylvania State University

Since the start of the pandemic, the film industry has been in free fall.

As deaths have continued to climb, ...



more from Ilene

Biotech/COVID-19

Wearable fitness devices deliver early warning of possible COVID-19 infection

 

Wearable fitness devices deliver early warning of possible COVID-19 infection

Fitness information from wearable devices can reveal when the body is fighting an infection. Nico De Pasquale Photography/Stone via Getty Images

Courtesy of Albert H. Titus, University at Buffalo, The State University of New York

The difficulty many people have getting tested for SARS-CoV-2 and delays in receiving test results make early warning of possible COVID-19 infections all the more important, and ...



more from Biotech/COVID-19

Zero Hedge

Fake ID Seizures, Mostly From China, On the Rise

Courtesy of ZeroHedge View original post here.

Authored by Petr Svab via the Epoch Times (emphasis ours),

U.S. Customs and Border Protection (CBP) has been seizing an increasing number of fake IDs, including driver’s licenses, in recent years. Most come from China and are good enough to fool an average person, an agency official said.

...

more from Tyler

ValueWalk

Value Does Not Have To Mean Cheap: ANGI A Good Example

By Jonathan Boyar. Originally published at ValueWalk.

It’s a scenario value investors dream about: a growing company whose shares are selling at a statistically cheap price. Of course, these types of stocks can be hard to find—and the search for them may lead you straight into a value trap. But just as a stock selling for a low valuation doesn’t always mean a bargain, a richly valued stock doesn’t always mean value investors ought to automatically look elsewhere. The Boyar Value Group recently identified one high multiple stock that may be worth paying up for. Keep reading to find out more.

Q2 2020 hedge fund letters, con...



more from ValueWalk

Kimble Charting Solutions

History Says Gold Correction Could Lead to Big Rally!

Courtesy of Chris Kimble

Over a decade ago, Gold rallied past its 1980 highs and over $1000/oz at (1) on today’s chart.

That rise to new highs was met with a 30 percent correction at (2), followed by a blast off rally to new highs.

Is gold setting up for a repeat of its past?

Gold recently rallied past its 2011 highs and above $2000/oz. Could Gold soon turn lower for a sharp correction before another blast off toward $3000?

If so, Gold bulls should look for a pullback, before blasting higher. Stay tuned!

This article was first written fo...



more from Kimble C.S.

The Technical Traders

Adaptive Fibonacci Price Modeling System Suggests Market Peak May Be Near

Courtesy of Technical Traders

Our Adaptive Fibonacci Price Modeling system is suggesting a moderate price peak may be already setting up in the NASDAQ while the Dow Jones, S&P500, and Transportation Index continue to rally beyond the projected Fibonacci Price Expansion Levels.  This indicates that capital may be shifting away from the already lofty Technology sector and into Basic Materials, Financials, Energy, Consumer Staples, Utilities, as well as other sectors.

This type of a structural market shift indicates a move away from speculation and towards Blue Chip returns. It suggests traders and investors are expecting the US consumer to come back strong (or at least hold up the market at...



more from Tech. Traders

Chart School

Silver Big Channel

Courtesy of Read the Ticker

Big channels are the sand pit of price action. Lets review some big trends of these past months.


GLD
- Moving higher to upper solid red line channel


Click for popup. Clear your browser cache if image is not showing.






XAU
- Ready to pause, or simply explode.



Click for popup. Clear your browser cache if image is not showing.





SILVER
- Ready to pause, or simply explode.


Click for popup. Clear your browser cache if image i...



more from Chart School

Digital Currencies

Raoul Pal: "It May Not Be Worth Owning Any Asset Other Than Bitcoin"

Courtesy of ZeroHedge View original post here.

Authored by Turner Wright via CoinTelegraph.com,

Raoul Pal, CEO and founder of Real Vision, says Bitcoin may soon become his only asset for long-term investments.

image courtesy of CoinTelegraph ...



more from Bitcoin

Lee's Free Thinking

Texas, Florida, Arizona, Georgia - The Branch COVIDIANS Are Still Burning Down the House

 

Texas, Florida, Arizona, Georgia – The Branch COVIDIANS Are Still Burning Down the House

Courtesy of Lee Adler, WallStreetExaminer 

The numbers of new cases in some of the hardest hit COVID19 states have started to plateau, or even decline, over the past few days. A few pundits have noted it and concluded that it was a hopeful sign. 

Is it real or is something else going on? Like a restriction in the numbers of tests, or simply the inability to test enough, or are some people simply giving up on getting tested? Because as we all know from our dear leader, the less testing, the less...



more from Lee

Members' Corner

Coronavirus, 'Plandemic' and the seven traits of conspiratorial thinking

 

Coronavirus, 'Plandemic' and the seven traits of conspiratorial thinking

No matter the details of the plot, conspiracy theories follow common patterns of thought. Ranta Images/iStock/Getty Images Plus

Courtesy of John Cook, George Mason University; Sander van der Linden, University of Cambridge; Stephan Lewandowsky...



more from Our Members

Insider Scoop

Economic Data Scheduled For Friday

Courtesy of Benzinga

  • Data on nonfarm payrolls and unemployment rate for March will be released at 8:30 a.m. ET.
  • US Services Purchasing Managers' Index for March is scheduled for release at 9:45 a.m. ET.
  • The ISM's non-manufacturing index for March will be released at 10:00 a.m. ET.
  • The Baker Hughes North American rig count report for the latest week is scheduled for release at 1:00 p.m. ET.
...

http://www.insidercow.com/ more from Insider

Promotions

Free, Live Webinar on Stocks, Options and Trading Strategies

TODAY's LIVE webinar on stocks, options and trading strategy is open to all!

Feb. 26, 1pm EST

Click HERE to join the PSW weekly webinar at 1 pm EST.

Phil will discuss positions, COVID-19, market volatility -- the selloff -- and more! 

This week, we also have a special presentation from Mike Anton of TradeExchange.com. It's a new service that we're excited to be a part of! 

Mike will show off the TradeExchange's new platform which you can try for free.  

...

more from Promotions

Mapping The Market

How IPOs Are Priced

Via Jean Luc 

Funny but probably true:

...

more from M.T.M.





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...

Learn more About Phil >>


As Seen On:




About Ilene:

Ilene is editor and affiliate program coordinator for PSW. Contact Ilene to learn about our affiliate and content sharing programs.