Call Buyers Take Aim at Surging Novo Nordisk A/S (NVO)

Novo Nordisk A/S (ADR) (NVO) is seeing tons of action at the 55 strike

Digital Content Group
Mar 26, 2015 at 2:14 PM
facebook X logo linkedin


Novo Nordisk A/S (ADR) (NYSE:NVO) is ripping it up today -- tacking on 6.5% to trade at $53.06, and fresh off a record high of $53.75. Powering shares of the pharmaceutical firm is an announcement that its novoeight hemophilia A treatment will be launched in the U.S. by mid-April. Not surprisingly, options traders are gravitating toward calls over puts, while the stock's 30-day at-the-money implied volatility hit a 52-week peak of 36.7% earlier.

Diving right in, speculators are paying close attention to the 55 strike. Specifically, it looks like there may be buy-to-open activity transpiring at NVO's April and May 55 calls. The call buyers anticipate the shares will topple the $55 mark by the respective expiration dates, territory yet to be charted by NVO.

History shows long calls have been preferred over puts recently. During the past 10 weeks at the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX), NVO has racked up a call/put volume ratio of 10.22 -- just 1 percentage point shy of a 12-month high.

This isn't entirely unexpected, given the technical tenacity of Novo Nordisk A/S (NYSE:NVO). Year-to-date, the shares have advanced 25%. Even more impressively, since hitting a recent low of $41.87 in early February, NVO has shot 26.7% higher.

Daily Chart of NVO since February 2015

 

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