What’s up ladies and degens. Here’s Swaggy’s Unusual Option Activity summary for the week. It was an interesting week with lots of choppy and bearish action. Option flow was pretty light, but some names showed some strength and some set-ups.
DKNG – DraftKing
Draftkings sweepers came in throughout the day on September 9. Big call buying across the board pushing this stock higher as traders ride momentum.
AMAT – Applied Materials
AMAT saw a few big plays with large volume of bullish call contracts and a short put block. AMAT was hit pretty hard in the last 2 weeks and is down approx. 20% from the recent highs. Looks like players are selling puts looking for a floor and buying calls expecting a bounce. Most of these blocks are for January 2021 expiration and seem pretty bullish.
CPB – Campbell Soup
Campbell Soup is an unusual name to see option flow, so it’s something to keep an eye on. Last time they saw big bullish activity was early September before earnings. CPB has also shaved off about 20% from recent highs and a player sold to open over 13k PUT contracts expiring in two weeks (September 25). The player collects $350k premium if CPB stays above $43 (now $45.50). Seems to be another player expecting short-term bottom in some beaten-down names.
GPS – Gap
GAP some some mixed flow, but pretty heavy recent volume. Tough to say exactly what the player is trying to achieve here, but each block was for over 10k contracts with the same expiration.
PLUG – Plug Power
PLUG power saw a boatload of bullish flow coming through the last several days. It was a mix of put-selling and call buying. The largest block I caught was 17k contracts for next week’s (September 18) expiration. The play is 5% OTM and about $1 million in premium. As with most stocks, PLUG got beaten up the last 2 weeks and perhaps the player is looking for a strong rebound this week.
ZNGA – Zynga
ZNGA saw a huge buyer of 22k November 20, 2020 call contracts this week. The position has a strike of $8 and about $2.5 million in premium. This is the biggest call block in ZNGA in about 6 weeks. A couple weeks ago it looks as if someone closed part of a position of sold PUTS. The 20k contracts is pretty large in size for this ticker. Will be interesting to follow ZNGA over the next week or two.