Published on Oct 21, 2021 at 1:03 PM
  • Intraday Option Activity
Both stocks are seeing a surge in options activity in response to yesterday's news.
Published on Oct 21, 2021 at 9:58 AM
  • Buzz Stocks

American Airlines Group Inc (NASDAQ:AAL) threw its hat into the earnings ring this morning, reporting a smaller-than-expected loss of 99 cents per share for the third quarter. Revenue came in just above Wall Street's forecasts, too, as relaxed Covid-19 restrictions boosted travel demand and the holiday season quickly approaches. American Airlines' earnings report comes a few days after the U.S. announced it would remove restrictions for international vaccinated travelers on Nov. 8.

Last seen up 0.8% to trade at $19.68, American Airlines stock has had a rough go on the charts since trading near the $26 level in June. Pressure from the $22 area has snuffed out several rally attempts, while the 80-day moving average has helped guide AAL lower in recent weeks. AAL is up over 23% year-to-date. 

That being said, American Airlines stock looks primed for a short squeeze. While, short interest fell 12.1% in the two most recent reporting periods, the 90.23 million shares sold short make up a solid 14.2% of the equity's current available float, and it would take nearly three days to buy back these bearish bets at AAL's average daily pace of trading. 

An unwinding of pessimism among options traders could also push the stock higher. The equity's Schaeffer's put/call open interest ratio (SOIR) of 1.30 stands higher than 87% of readings from the past year, suggesting these short-term options traders have rarely been more put-biased. Additionally, AAL sports a 50-day put/call volume ratio that sits in the 86th percentile of its annual range at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX). This means long puts have rarely ben more popular.  

Today, however, calls volume is running at double what's typically seen at this point, with 32,000 calls exchanged within the first hour of trading, compared to 8,910 puts. The most popular is the weeklt 10/22 20-strike call, followed by the November 23 call. 

Now seems like a great opportunity to speculate on American Airline stock's next move with options. The equity's Schaeffer's Volatility Index (SVI) of 42% stands in the 4th percentile of readings from the past year, indicating options players are pricing in low volatility expectations at the moment. 

Published on Oct 20, 2021 at 10:42 AM
  • Buzz Stocks
Driling down to today's options activity, 46,000 calls and 33,000 puts have crossed the tape, or seven times the intraday average. 
Published on Oct 18, 2021 at 11:19 AM
  • Buzz Stocks
The stock's typically quiet options pits are bustling with activity this morning. Options volume is running at 12 times what is typically seen at this point, with 2,813 calls and 922 puts across the tape so far. The November 15 call is most popular, followed by the 12.50 put in the same monthly series, with new positions currently being opened at both.
Published on Oct 18, 2021 at 11:13 AM
  • Analyst Update
Drilling down to today's options activity, 40,000 cals and 25,000 puts have crossed the tape, which is double the intraday average. Most popular is the weekly 10/22 175-strike call, followed by the 180-strike call in the same series, with positions being opened at the first.
Published on Oct 14, 2021 at 11:21 AM
Updated on Oct 18, 2021 at 10:39 AM
  • Buzz Stocks
So far, 5,036 calls have crossed the tape, which is double the intraday average. Most popular is the October 195 call, followed by the 192.50 call in that same series, indicating options players see more upside for CAT by the time these contracts expire tomorrow.
Published on Oct 15, 2021 at 10:29 AM
  • Buzz Stocks
So far, 58,000 calls and 13,000 puts have crossed the tape, or three times the intraday average. The October 28 call is the most popular, followed by 29 call in the same series, with new positions being opened at both. This mean traders expect even more upside for the security by the time these contracts expire at the end of the session.
Published on Oct 14, 2021 at 10:57 AM
  • Analyst Update
So far, 13,000 calls have crossed the tape, or four times the intraday average. The October 190 call is the most popular, followed by the 195 call in the same series. This means options traders are betting on more upside for UPS by the time these contracts expire tomorrow. 
Published on Oct 13, 2021 at 10:41 AM
  • Buzz Stocks
So far today, 63,000 calls and 28,000 puts have crossed the tape, which is three times the intraday average. Most popular is the October 165 call, followed by the 160 put in the same series, both of which expire at the close on Friday.
Published on Oct 13, 2021 at 10:22 AM
  • Buzz Stocks
 Options traders are blasting Plug Power stock in the options pits. So far, 133,000 calls and 29,000 puts have been exchanged, which is eight times the intraday average.
Published on Oct 8, 2021 at 10:31 AM
  • Buzz Stocks
So far, 172,000 calls have crossed the tape -- double the intraday average -- as opposed to 114,000 puts. The most popular by far is the weekly 10/8 800-strike call, followed by the 790-strike call in the same series, with new positions being opened at both. This indicates traders expect more upside for TSLA by the time these contracts expire at today's close.
Published on Oct 7, 2021 at 10:56 AM
Updated on Oct 7, 2021 at 10:56 AM
  • Analyst Update
 CTXS is seeing five times its usual intraday options volume, with 174 calls and 531 puts across the tape so far. The weekly 10/29 104-strike put is the most popular, followed by the 103-strike put in the same series, with new positions being bought to open at both. 

Trader: Sell These 8 Stocks in 2021

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