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Options News and Commentary

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Fri, Jun 23rd, 2023
Which Unusually Active Lululemon Call Option Would You Buy?

Lululemon had four unusually active call options on Friday, June 2. I’m a big fan of the company and LULU stock. Here’s a backtesting exercise to determine the best of the four options. Or should investors...

Despite Devon Energy's Dividend Cut, Its High Yield Still Makes It a Buy

Devon Energy cut its dividend last quarter based on lower adjusted free cash flow, and it may do so again. But it still makes sense to short out-of-the-money puts both for income and to buy in.

DVN : 47.15 (-1.13%)
Wayfair Stock Upgraded After Bed Bath & Beyond Bankruptcy

MoffettNathanson upgraded W to "market perform" from "outperform"

It’s Time to Give Phillips 66 (PSX) a Look Before the Market Wakes Up

Though no guarantees exist, Phillips 66 may be sitting on a fundamental goldmine, making PSX stock at least worthy of careful consideration.

PSX : 90.86 (+0.06%)
MUR : 37.46 (-0.64%)
CRM : 210.09 (-1.50%)
Under Armour Stock Extends Losses After Downgrade

Wells Fargo cut UAA's rating to "equal weight" from "overweight"

An intraday trade plan for the S&P futures

Premarket summary for the broad market

ESU23 : 4,389.00s (-0.79%)
YMU23 : 33,977s (-0.68%)
NQU23 : 15,058.25s (-1.03%)
QRU23 : 1,834.60s (-1.65%)
SPY : 433.21 (-0.76%)
How to Trade Unusual Options Activity

Learn how to identify unusual trading activity by deciphering stock chart patterns, and key considerations to keep in mind when trading such activity.

It’s Easy to See Why Schwab’s Options Were Unusually Active Wednesday

One of the online broker’s put options had a volume of 15,344 on Wednesday, 108.82x its open interest. I can think of at least three reasons why that’s the case.

SCHW : 53.17 (-0.08%)
Alcoa Stock Popular Among Bulls Despite Bear Notes

Morgan Stanley lowered its rating on AA to "underweight"

Tesla Stock Downgraded on Valuation Concerns

Plus, 2 additional analyst notes

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December Corn closed at 584-2, a drop of 5.88% and the largest one day drop in the contract's history https://t.co/NipndXULeL
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Long time investor Ron Baron says the Dow Jones will hit 900,000 over the next 5 decades https://t.co/BCqhgL06dQ
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Ethereum $ETH could hit $50,000 by 2030 according to VanEck Investment Management https://t.co/XRBVScw1v2
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Nasdaq 100 $IUXX is on track for its best first half of the year since 1999 https://t.co/qor1kuLLQg
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Oracle Insider Trading Alert 🚨 For the first time in 2 years, Oracle Founder and Chairman Larry Ellison sold share… https://t.co/Q2B4zhxpZA
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The Nasdaq's longest consecutive weekly winning streak since November 2019, 8 weeks, has finally come to an end… https://t.co/t31HeSPoqz
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UFC president Dana White says Tesla $TSLA CEO Elon Musk and Meta Platforms $META CEO Mark Zuckerberg are serious ab… https://t.co/BB8TRTBSUv
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ETFs w/ most active options trading: $SPY - 7.588M $QQQ - 2.913M $IWM - 978k $HYG - 312k $TQQQ - 310k $SQQQ - 260k… https://t.co/h7f71TiuHl
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Stocks w/ most active options trading: $TSLA - 3.516M $AMZN - 1.490M $AAPL - 995k $NVDA - 965k $AMD - 906k $META -… https://t.co/rLDnZdGSPx
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The S&P 500 will generate returns of just 2% (after inflation) annually over the next decade warns top forecaster R… https://t.co/gq4aou543b
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RT @Barchart: Retail Investors purchased $1.5 billion worth of single stocks for the week ended Tuesday, an all-time record. And of course…
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% of Large Cap Stocks Above Their Moving Averages https://t.co/6HMmXDZctv
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A historical look at how the Nasdaq reacts after getting too far extended above the 40-week moving average https://t.co/r7LQKPXqs4
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@luckycharmsyo Usually these charts will show the source in the bottom left, this one comes from JP Morgan
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The 3 stocks were $NVDA $TSLA $AAPL - @luckycharmsyo
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Treasury Secretary Janet Yellen expects banks to face earnings pressure which could result in more bank mergers https://t.co/TGZdFR290O
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The probability of a recession hit a record high last year but has since trended lower. Remember that recessions d… https://t.co/V8LHH92KCe
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Amazon $AMZN call options volume surges after the company says the magical word, "AI" https://t.co/NkfMxBmbNb
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The island nation of Palau is selling 'digital residencies" that cost $248 annually and would reportedly allow user… https://t.co/vX4NC2S3cU
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Stock Market Fear & Greed Index = 74 (Greed) Goodbye Extreme Greed!! It's been a pleasure 🫡 https://t.co/Te8pMCstTR

Chart of the Day

Eli Lilly and Company (LLY)

The Chart of the Day belongs to the pharmaceutical company Eli Lilly (LLY) . I found the stock by using Barchart's powerful screening functions to find stocks with the highest technical buy signals, highest Weighted Alpha, superior current momentum and having a Trend Seeker buy signal then used the Flipchart...
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