Unusual Options Activity Update: ZNGA, SLE, NTAP, XLU, RENN, AGO, USG
Implied Volatility Mover
Implied volatility in the options on Zynga (ZNGA) is easing on the heels of todayís Facebook IPO. Zynga makes games like Farmville and Drop 7 that are used with Facebook and there had been increasing interest in the options on the stock ahead of the offering. The stock fell to a low of $7.08 after FB made its debut, but has since recaptured some of the losses and is down 47 cents to $7.80. 33,000 calls and 17,000 puts traded on the stock and implied vols are easing 13.5 percent to 93.
Volume Signals
Sara Lee (SLE) options volume is running 22X the (22-day) average, with 73,000 contracts traded and call volume accounting for 67 percent of the volume.
NetApp (NTAP) options volume is 3X the average daily, with 55,000 contracts traded and call volume representing for 69 percent of the activity.
SPDR Utilities (XLU) options volume is running 9.5X the average daily, with 55,000 contracts traded and call volume accounting for 98 percent of the activity.
Increasing options activity is also being seen in Renren (RENN), Assured Guaranty (AGO), and USG.
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Joseph Cusick currently serves as the Senior Vice President of Education and a Senior Market Analyst for optionsXpress. Mr. Cusick seeks out common sense and technologically scalable educational pathways for self-directed investors of all experience levels. He is largely responsible for ramping up delivery of online and offline seminars to customers and potential clients worldwide. Prior to serving in his current role, Mr. Cusick immersed himself in the broker side of optionsXpress by managing his own book of business. Prior to joining optionsXpress, Mr. Cusick served as a market maker and portfolio manager at the Chicago Board of Options Exchange. Joseph is a graduate of Marquette University and holds his Series 4, 7 and 63 registrations with FINRA.
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