Most Active Weekly Options: Amazon.com, Inc. and United States Steel Corporation

The weekly 12/9 series of options is in focus for both Amazon.com, Inc. (AMZN) and United States Steel Corporation (X)

Dec 8, 2016 at 2:53 PM
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The 20 stocks listed in the table below have attracted the highest weekly options volume during the past 10 trading days. Stocks highlighted are new to the list since the last time the study was run, and data is courtesy of Schaeffer's Senior Quantitative Analyst Rocky White. Two names of notable interest are e-tailer Amazon.com, Inc. (NASDAQ:AMZN) and commodity stock United States Steel Corporation (NYSE:X). Here's a quick look at how options traders are lining up on AMZN and X.

most active weekly options dec 8

AMZN is off 0.6% at $765.72, after Citi replaced Amazon with Alphabet Inc (NASDAQ:GOOGL) as its top U.S. internet stock pick. This only extends the stock's technical troubles since Donald Trump's surprise victory last month, with the shares down almost 3% post-election -- even as the broader stock market has ripped to record highs.

However, according to Benchmark, the drop is the result of "irrational post-Trump retribution fear." Specifically, the brokerage firm reiterated its "buy" rating on AMZN, as well as a $950 price target -- representing record-high territory -- and is bullish about the company's planned entry into the grocery market with Amazon Go.

Per the chart above, weekly options on Amazon.com, Inc. have been flying off the shelves. It's more of the same today, as the weekly 12/9 series accounts for each of the top 10 strikes -- with opening activity detected at the out-of-the-money 770, 775, and 780 calls.

Meanwhile, X has gone gangbusters since the election. At $37.94, the shares have rocketed over 80% higher since their Nov. 8 close -- blistering past this key year-to-date level -- and are fresh off a two-year high of $39.14. Bolstering U.S. Steel stock today was CEO Mario Longhi's remark, "when you see in the near future improvement to the tax laws, improvements to regulation, those two things by themselves may be a significant driver to what we're going to do." Longhi also predicted the steel industry could bring up to 10,000 jobs back to the U.S.

Turning to the options pits, X's weekly 12/9 series is popular, accounting for half of the 10 most active strikes. It appears short-term bulls may be buying to open the near-the-money 38-strike call. On the flip side, traders anticipating a near-term pullback for United States Steel Corporation could be purchasing fresh positions at the weekly 12/9 37-strike put.

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