Options Trading Has Surged on Rallying Penny Stock

PLUG open interest is near a 52-week high

Sep 17, 2019 at 2:27 PM
facebook X logo linkedin

Plug Power Inc (NASDAQ:PLUG) announced this morning that the company is continuing its partnership with Europe's Engie to expand renewable energy services around the globe. Still, PLUG shares were last seen down 2.2% at $2.70, stalling out again in the $2.80 region that's capped previous rallies this year. This comes after a sharp bounce from the 200-day moving average last month, which has helped the stock more than double year-to-date.

plug stock sept 17

The security may have been due for a pullback anyway, since it's been running pretty hot in recent weeks. For instance, the 14-day Relative Strength Index (RSI) is 83, deep into overbought territory. Call buyers have been along for the ride, since the 10-day call/put volume ratio at the International Securities Exchange (ISE), Cboe Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) shows almost 17 long calls opened for every put.

More broadly, there's notable open interest of almost 5,200 contracts at the front-month September 2.50 call, and traders have also taken interest in the September 3 call, where more than 3,700 contracts are sitting. Total open interest is 72,821, ranking in the 100th annual percentile.

Filling out the sentiment scene, short interest is still elevated, near the levels we saw back in March. On the other hand, analysts are bullish, with four of the six covering firms handing out "strong buy" recommendations on Plug Power. 


Target Effortless Triple-Digit Gains Every Sunday Evening For Life!

This is your chance to triple your profit potential on Sunday evenings, without spending all your free time watching the market.

On Sundays, as a Weekend Plus subscriber, you’ll get up to 6 trades every Sunday, each targeting gains of 200% or more.

Start targeting gains like the ones our subscribers have seen recently, including:

213.3% GAIN on AutoNation calls
100.0% GAIN on Monster Beverage calls
100.4% GAIN on Walgreens Boots Alliance puts
100.4% GAIN on ON Semiconductor calls
257.7% GAIN on Dell calls

101.0% GAIN on Apollo Global Management calls
103.6% GAIN on JP Morgan  Chase calls
105.3% GAIN on DraftKings calls
101.3% GAIN on Airbnb calls
203.0% GAIN on Shopify calls
102.0% GAIN on Cboe Global Markets calls
100.9% GAIN on Boeing calls
102.1% GAIN on Microsoft puts
102.3% GAIN on First Solar calls
101.5% GAIN on PulteGroup calls
101.0% GAIN on Apple calls
209.4% GAIN on NXP Semiconductors calls
100.8% GAIN on Uber Technologies calls
100.4% GAIN on Academy Sports and Outdoors puts
102.2% GAIN on Trade Desk calls
100.8% GAIN on DoorDash calls
100.0% GAIN on Camping World Holdings puts
100.0% GAIN on Cboe Global Markets calls
100.2% GAIN on C3.ai calls
238.5% GAIN on Oracle calls



Rainmaker Ads CGI