Unusual Options Activity Update: P, F, FCX, MU, KFT, P, EWJ
Implied Volatility Mover
Implied volatility in the options on Pandora (P) is moving up, as shares fall on reports Apple (AAPL) might launch a service to compete with the Internet radio company. The stock is down 18.8 percent to $10.20 on heavy volume of 13 million shares. 25,000 calls and 34,000 puts traded on the stock, which is 3.5X the daily average for Pandora. December 8 and September 9 puts are the most actives and implied volatility in the options on the stock moved up 23 percent to 71.
Volume Signals
Ford Motor (F) options volume is running 2X the (22-day) average, with 146,000 contracts traded and call volume accounting for 85 percent of the volume.
Freeport McMoran (FCX) options volume is 2X, the average daily, with 125,000 contracts traded and call volume representing for 67 percent of the activity.
Micron Technology (MU) options volume is running 3X the average daily, with 69,000 contracts traded and put volume accounting for 74 percent of the activity.
Increasing options activity is also being seen in Kraft Foods (KFT), Pandora (P), and iShares Japan Fund (EWJ).
------------------------------------------------------------
Disclaimers
This article is provided for informational purposes only. No statementin this article should be construed as a recommendation to buy or sell asecurity or to provide investment advice. The content provided has beenobtained from sources deemed reliable but is not guaranteed as toaccuracy and completeness. optionsXpress makes every effort to providetimely information to its recipients but cannot guarantee specificdelivery times due to factors beyond our control.
Derivatives involve substantial risk and are not appropriate for all investors. Please read the "Disclosure Statement for Futures and Options" prior to investing in futures or options.
For investments using a straddle or strangle options strategy thepotential loss is unlimited. Multi-leg option strategies are subject tomultiple commissions. Profits may be eroded by the commission expendedto open and close the positions and other risks apply.
"
About Joseph Cusick
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.
View Joseph Cusick's post archive >
