The Weeklys are on short leash this week. I’m Angela Miles covering weekly options expiring this Friday and Next Friday.
The market is open all day today, closed Thursday for Thanksgiving and open for a half day Friday. So there’s not much time left until this week’s options expiration, which is perfect for traders who like short-term snappy plays .
Today, I’m starting with Apple. The options are going gonzo into the Black Friday buying blitz by American holiday shoppers. AAPL hit a market cap of $700 billion this week along with new highs. Calls continue to outpace puts. Today apple is trading $119 and call buyers are gobbling up 118, 119 and 120 calls. There seems to be a suggestion in the options paper flow that traders believe Apple will rally to $120 by the end of the week. Also for this week there are put sellers at the 117 strike, which tends to be a bullish strategy. Next week in Apple, traders want the 121 calls.
Alibaba is also active. As the stock trades $113, 115 call option contracts are in demand.
The rumor mill is busy with talk that Goldman Sachs could go private there is some light call buying at 190.
Hertz shares are driving higher on word billionaire investor Carl Ichan is upping his stake now that the rental car company has hired a new CEO. Hertz is trading $25 puts for this week at 24.5 are catching action.
Traders have been building positions in Lululemon ahead of earnings December 11th. LULU trades $48 and calls are picking up trades at the 49 strike. Next week, the are Dec 45 calls active. Some January activity was seen.
Among other popular trades…
Facebook (FB) is generating selling interest in the Nov 75, 76 and 77 calls.
Coke has been active on its new milk product, Fairlife. The company belie believes money will be “pouring in” on this ground breaking product. KO is $44 Dec 43 puts are moving.
SPX is attracting at the money calls and put activity, especially in the 2050 puts and slightly out of the money 2070 strike calls.
That’s it for now. Thank you for watching. Feel free to follow me on Twitter @Angie Miles.
Have a wonderful Thanksgiving. I will be back on Friday with a final check on the Weekly’s market