On Monday I brought Apple (NYSE: AAPL) to your attention. I noticed a sweep of 400 $AAPL May 29 $335 calls for $0.79 later that day.
While Apple hasn’t made a significant move yet, I’ll keep those exact call options on watch through the end of the week, assuming Apple holds a bullish trend. Monday’s AAPL report…
Tuesday I wrote about Inovio Pharmaceuticals (NYSE: INO). On Monday I had noticed an $880,000 position bought on INO May 22 $17 calls for $1.10.
I picked up those exact calls at the exact price yesterday, and closed out my full position this morning for +196% overnight on news that INO’s experimental vaccine triggered immune responses against the Covid-19 virus in early testing phases.
Now, as I mentioned on Tuesday, I’m not a fan of this company’s management. Today multiple negative hints at the company’s practices were made by short selling firms. Therefore, I’ll keep it on watch for a possible short in the days ahead. Tuesday’s INO report…
Today’s pick was Xilinx Inc (NYSE: XLNX). Beautiful technical pattern, not much sentiment on the options. I took a starter position in XLNX June 19 $95 calls and am willing to add – I also have a tight stop on a breach of the 100-day simple moving average line which I touched on in this morning’s XLNX report, so I like the risk/reward on this one.
As for a watchlist, I noticed options sweeps increase in bullish activity after today’s Fed announcement, and you bet I’ll be watching the most unusual calls outlined below into the end of the week!
Most Unusual Calls:
Gilead Sciences: 10,000 GILD June 5 $75 calls for $2.14. That’s a $2M+ bet! My guess is short-sellers are bearish on smaller biotechs (such as INO) and will therefore shift the bulls toward larger biotechs, such as GILD. On watch for a possible swing trade, stock and market depending.
Disney: 1,025 DIS June 19 $125 calls for $2.20. A $225,500 bet. Reopening rumors which in my opinion, would bump the stock’s price significantly.
I scalped a day trade on shorter-dated calls this afternoon for a modest $720 win and sold at DIS $120 resistance.
On rebuy watch if DIS can trade above $120 with range to $130.
Hanes (a Michael Jordan company): 11,000 $HBI July 17 $12 calls for $0.20. A $220,000 bet. Michael Jordan’s documentary aired recently and as a result, buyers may be ordering Jordan endorsed products via e-commerce in the days ahead.
For those of you who enjoy lower priced options with plenty of time to let ride, then maybe Hanes is a play for you to keep on watch!
Here’s the beauty of options: What if these catalysts don’t materialize? Or what if markets crash? Options can be traded both ways! For starters, we know companies like Disney and Gilead are liquid… That’s step #1 when trading options – liquidity is your friend.
Stay tuned for my #1 trade idea tomorrow morning!
And as a friendly reminder, you can find every single TrackStar article with this link!
Yours for TrackStar trading,
Davis Martin
America’s #1 Premarket and Day Trader
Disclaimer: This is not investment advice. This article is for information purposes only and opinion-based on financial advisor data across a selection of websites. Investors should be cautious about any and all investments and are advised to conduct their own due diligence prior to making any investment decisions.