Apple Inc. (AAPL) is down once more, but options traders don't foresee another losing streak
A day after
snapping its nearly decades-long losing streak,
Apple Inc. (NASDAQ:AAPL) is lower once more. Hitting the tech stock is India's decision to
prohibit the sale of imported used iPhones, along with a
lost trademark battle in China. Amid the
not-so-surprising drop in the shares, short-term options traders are making their presence known.
Diving into the data, the weekly 5/6 series accounts for seven of the 10 most active options. The three most popular are the 94-, 94.50-, and 95-strike calls, and it appears each is seeing some buy-to-open activity. In other words, these options traders foresee AAPL taking a bounce prior to week's end -- rather than duplicating the aforementioned (
and historically rare) losing streak.
In recent weeks, however, it's
puts that have been the options of choice among AAPL traders. Specifically, the tech stock's
10-day put/call volume ratio of 0.70 across the International Securities Exchange (ISE), Chicago Board Options Exchange (CBOE), and NASDAQ OMX PHLX (PHLX) outstrips four-fifths of readings taken in the prior year.
At last check, Apple Inc. (NASDAQ:AAPL) has lost 1% to trade at $94.20. Since the tech stock's year-to-date high of $112.39 on April 14, the shares have surrendered over 16%. Plus, they're currently testing support at their 200-week moving average -- which hasn't been breached on a weekly basis since March 2009.
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