Midday Unusual Options Activity Update - LFT, AMZN, BRCM, GLW, JDSU, BA
Implied Volatility Movers
Implied volatility in LongTop Financial (LFT) is reaching new highs, as shares come under fire for another day. Shares of the Hong Kong-based financial software company lost 12.9 percent after Citron Research wrote a cautionary note about the company Tuesday. LFT is down another 10.3 percent to $19.94 today and has now fallen 38.7 percent since April 7. Meanwhile, 17,000 calls and 23,000 puts traded in LFT through midday. Implied volatility is also moving, up 9 percent to 105 and new record highs.
Unusual Volume
Amazon.com (AMZN) options volume is running 3X the (22-day) average, with 211,000 contracts traded and call volume accounting for about 53 percent of trades.
Longtop Financial (LFT) options volume is 5X the average daily, with 38,000 contracts traded and put volume representing for 57 percent of the activity.
Broadcom (BRCM) options volume is running 4.5X the average daily, with 86,000 contracts traded and call volume accounting for 55 percent of the activity.
Increasing options activity is also being seen in Corning (GLW), JDS Uniphase (JDSU), and Boeing (BA).
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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.
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