Sunday, November 11, 2012
Weekly Recap 11.5 to 11.9
Didn't follow the market, took the day off. Quiet day from what I understand.
$WTW didn't do too much, it opened at 55 sold off to 53 and change and kept getting denied on a break above 56.
$ESRX opened close to 56 then sold off to 51.59. The 52.50 put went from .40 to 1.84 by 1000 and the 55 put went from .95 to 3.70 by 1000. The stock ended up rebounding to close at 55
$Z not exactly a great options play because it only had 5 dollar increments, but the stock opened at 28.90 and sold off to 27.50ish. The 30 put went from 2.30 to 2.90
$FOSL opened around 86 and hit a low of about 82.18, the 82 level acted as support for the day. It closed at 84. Thanks to volatility, their wasn't much to be done with the options. The 85 put opened at 3 and hit a high of 4.50. The 80 put opened at 1.50 and hit a high of 1.80ish
The story of this day was $AAPL. The general market mood was already negative due to Obama being re-elected. On top of that, $VHC just won a minor (pocket change to $AAPL) judgement against $AAPL. The stock ended up tanking down 3% that day. The 560 put went from 1.68 to 9.75 or so. The stock opened at 573, hit a low of 556 and closed at 558. Prime example of a catalyst come along to steer a stock.
$QCOM opened up significantly post earnings. I expected a sell off as funds collected their payout, which is exactly what happened. The 62.50 put opened at .60 and hit a day high of 1.90, but that wasn't until 1500. It hit 1.10 at 1015.
$MNST actually bucked the trend and ended up recovering from being down 15% or so. It opened at 40.25 and ended up closing at 44.50.
$AAPL again ended up tanking, hitting a low of 537.
$JCP opened lower at around 19.75, sold off a bit and ended up recovering at one point to over 21.
$PCLN didn't move that great and ended up rebounding by the end of the day. The 625 call traded from 1.50 to 7.50 by 1215
$DIS traded in a relatively tight range, between 46.53 and 47.95. There wasn't too much of a trade there unless you knew when to buy the 47 call. I figured it would rebound, which it did slightly.
$AAPL was prime for a rebound, which I didn't play. The 545 call opened around 2.25 and hit a day high of 10.00, that was after hitting a low of 0.98.
$MCP - Sec investigation is announced, shares plummet. Shares began to tank but it wasn't clear why, then it came thru that the SEC was investigating them. The 8.5 put went from an actionable 0.03 to .90 cents, a return of 30 times. The safer bet would have been the 9 put which went from .15 to 1.55 at peak. Again, all I knew before the stock was halted was that it was tanking, not certain of why. Only knew of the SEC post halt.
Also, at 1305 the President had a press conference and I had a feeling that would send stocks into the red. The /NQ dropped from 2602 at 1305 to 2582 by 1345. The /ES went from 1386 to 1376 by 1340hrs.