Stocks quoted in this article:
Electronic Data Systems (EDS 45-7/8) has jumped almost 13 percent today on news that it won a contract from the U.S. Navy worth up to $9 billion. The Navy tapped EDS to link its computer networks into one system.
This price action has lifted the shares well above their 10-day moving average, a trendline that had pressured the stock during its 23-percent decline from its September 5 high to its low on Friday. However, the equity remains below its 20-week moving average, which rejected the security's rally attempt in late August.
On the options front, 1,004 contracts have traded on the December 45 put, which has open interest of 953 contracts. A 650-contract block crossed late, while a 350-contract block transacted between the bid and the ask. This is one of the busiest puts on the Pacific Exchange.