Midday Unusual Options Activity Update: CRUS, MSFT, SNDK, HGSI, AMD, RVBD, SWKS
Implied Volatility Mover
Implied volatility in the options on Cirrus Logic (CRUS) is higher for a second day. As noted in yesterdayís closing report, put options on the chipmaker were busy Thursday and levels of implied volatility in CRUS options increased by 18 percent to 58.5. The activity continues today, with another 8,320 puts and 3,130 calls traded on the stock. May 21 puts are the most actives and levels of implied volatility are up another 10.5 percent to 64.5. Some investors might be buying downside puts in CRUS to hedge the stock heading into earnings next week. Shares are down over the past two days, but up more than 40 percent year-to-date.
Microsft (MSFT) options volume is running 3X the (22-day) average, with 338,000 contracts traded and call volume accounting for 76 percent of the volume.
Sandisk (SNDK) options volume is 2.5X the average daily, with 73,000 contracts traded and put volume representing for 55 percent of the activity.
Human Genome Sciences (HGSI) options volume is running 4X the average daily, with 44,000 contracts traded and call volume accounting for 73 percent of the activity.
Increasing options activity is also being seen in AMD, Riverbed Technology (RVBD), and Skyworks Solutions (SWKS).
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.
View Joseph Cusick's post archive >