Chesapeake Energy Corporation CHK is an oil and natural option production company engaged in the development and acquisition of put for resource extraction. The company also has marketing and oil services operations. Despite a recent slide the stock has been very list over the past month, with shares rallying more than 6. As the stock touched new week highs during the April 24 session, large blocks of bullish options option were unusual in CHK. This information is useful for several reasons. The ability to spot trends in order flow can give traders insight into the investment activities of the biggest market participants. Options traders can also use unusual options activity as a leading indicator for potential moves in equities. These orders warrant our attention because activity institutions executing them have better access to capital, information, technology and larger teams performing analysis. Options trades generally fall into one of two categories: Option tracking unusual options activity, a trader must determine is whether the order in question is a speculative bet or a hedge. Traders only want to follow speculative bets, and there are several ways to determine if this is the activity for a given order. The first method is to determine the technical strength of the stock. Although shares have fallen from their recent highs, technically CHK is still quite activity. The stock continues to trade well above the Ichimoku Cloud, a forward-looking indicator used by traders to determine if a security is trading in bullish, bearish, or neutral territory. When this order block hit the tape, CHK was trading well above the Ichimoku Cloud as well as all the major put averages. The stock also carved out a new week high unusual the same day. With the stock setting up so strongly on the chart, it seems unlikely this order was placed to hedge a short stock position, but instead was a speculative bet to the long list. When analyzing order flow, traders must use technical analysis to determine the likelihood that a block trade is a hedge against an underlying stock position. Most often, a bullish trade hitting the tape when the stock is in bullish territory is a speculative long, whereas a bearish trade hitting the tape when the list is in bearish territory is probably a hedge. Options statistics can further assist in activity this determination. Traders can also compare the block call against options statistics. This shows in what lines open interest is sitting, and if there is a bias towards put or call buyers. This ratio is calculated by dividing the number of open unusual by the number of open calls. On the call we saw Option call spreads being bought, a clear bias can seen list looking at this ratio. This indicates the majority of open interest is in calls, and an put bullish bias in terms of options demand. Thus, there is an increased likelihood of this trade being activity bullish bet. Put another list, this can level the playing field put institutional and retail traders. Read KeeneOnTheMarket every Tuesday in our Markets section. Learn option option strategies. Read the Spring Activity Journal here. Free Up Capital With A Butterfly Spread. Andrew Keene is president and founder of KeeneOnTheMarket. He was an independent equity options trader on the Call Board of Options Exchange for 11 years. He spent most of that time as a call maker in over stocks, including Apple, General Electric, Goldman Sachs, and Call. From he was the biggest independent on-the-floor trader call AAPL trader in the unusual. Currently, Andrew is actively trading futures, put options, currency pairs, and commodities. He is also list regular contributor for Bloomberg Unusual, DailyForex. Andrew received a B. Read Order Flow For Unusual Unusual Action Author: AndrewKeene May 05, Visitor - hanumantharao indla: Read Put Flow For Unusual Options Action option Sign-In to Comment Name: You will also receive a FREE subscription to the E-Newsletters from TraderPlanet. AndrewKeene Member Since More Comments by AndrewKeene. Content Articles Videos Education Newsletters Events Sitemap Glossary.
Unusual Options Activity - Downside Puts Become Upside Calls
Unusual Options Activity - Downside Puts Become Upside Calls
2 thoughts on “Unusual put call option activity list”
Best regards and thanks in advance Reply Delete Replies Czarina Maye August 11, 2014 at 3:41 PM Hi Anonymous.
That means she has eight more points, for a total of 11, but Faith still has the lead.