Weekly Weeklies for 6.5.14


Weekly options are moving on headline events this week.  Let’s look at  weekly options set to expire Friday, June 6th and Friday the 13th.

GM’S internal investigation of the ignition switch recall delay is out today. The stock has been revving up into the event. GM Weeklys upside calls for this week are active at the June 36 strike. Put buying is light. Next week, traders want the 36 and 36.5 calls.

Apple is back on top of the list of the most active this week. AAPL has been trending higher since the Worldwide Developers Conference. Today AAPL is in rally mode at ~$648 and traders are coming for calls at the 650 and 655 strikes. There is light put buying at 645.  Next week’s call strikes show activity with higher strikes, the  670 and 675 calls.   The traditional AAPL options calls are active up to 700 for June expiration and 720 and 740 strikes for July.

Twitter has been a trending topic in the options paper. As the stock has remained range bound for the past couple sessions, option trading has been busy.  TWTR is trading $33, with 34 calls in demand for this week’s expiration and for next week calls dominate at the 33 and 34 strikes.  Implied volatility is low at 40.

I  mentioned weekly action in Microsoft last week with 40 call buyers. The stock did indeed trade above $40. Today, MSFT is $40.55 and 40 puts are active, it looks like those could be put sellers so a slightly bullish tone.

Taking a peek into next week….

Barron’s reports Goldman Sachs is buying calls in 3-D Printer Systems ahead of its Analyst Day Next Tuesday. The report says Goldman has been buying 51 strike calls in the June options that expire on the 13th. Today DDD is rallying to $49 and is sparking interest in weekly 50 and 51 strike calls.  Call buyers are stepping in today buying the 51 strike for expiration on Friday the 13th. There is some put buying at the 50 strike.

Traders are getting to position for Lulemon’s earnings next Thursday. Trading is far from “Zen” for the yoga clothes retailer. There is activity in the 44 and 45 strike. The 43 straddle predicts a $4.40 move up or down off earnings.

And, going into Jobs Friday, the options trading  in the S&P suggests hedging is happening with buyers of the 1,870 and 1,875 put strikes.

One new name has been added to the list of available Weeklys: Teva Pharmaceuticals (TEVA, ~$51).

Thanks for watching and if you have the opportunity follow me on Twitter.  @Angie Miles