Option Flow Recap for Febuary 11, 2011

Macro / Thematic

SPX – 15,000 of the March 1300 / 1310 put spread was purchased after the close for $2.60 (SPX options trade until 4:15pm ET).

GLD – 7000 of the September 135 calls were bought for $6.15

IWM - Bearish flow this morning with an investor buying 15,000 of the June 75 /65 put spreads for $1.77; The March  79 / 72 put spread was purchased 7500x for $1.01.

EEM - Size call buying with the March 47 / 49 call spreads being bought 15,000x for $0.40

Consumer

ODP – 6000 of the March 6 calls were bought for $0.35 in a multi-exchange sweep. The company is expected to release earnings on February 22^nd before the market open.

M – 14,000 of the May 25 / 29 call spreads traded on the day and it appears to be an opening bullish position into the company’s earnings report that will be released on February 22^nd.

GRMN – Bullish flow today in Garmin. The February 34 calls are the most active with almost 3000 trading on the day. Briefing reported takeover speculation in the name.

Energy

TSO – Call activity in Tesoro was very active today on Sunoco (SUN) takeover speculation. The February 22.5 calls were the most active with over 9500 calls trading.

SD – An investor bought 10,000 January’13 7.5 puts for 1.75 and 3000 were purchased later in the day for $1.76

ENOC – 900 February 25 calls were sold at $0.30.

HK - The June 17 / 20 3x1 risk reversal traded 3000 x 1000. Buying 1000 June 20 calls and selling 3000 of the June 17 puts and collected .10

Industrials / Materials

KGC – 5000 August 20 calls were sold at $0.48

DOW – 2500 June 40 / 36 risk reversals traded. The investor bought calls and sold puts, collected $0.03

TX – 1500 February 35 calls were sold at $1.15 to open.

CAT – 2900 of the August 90 puts were sold at $3.15 to close.

Tech

NOK – One investor sold 11,000 of the July 11 calls at $0.29. The trade iss probably a liquidating trade.

MU – 5000 of the January 10 / 12.5 1x2 call ratio spread was bought for $0.40. The trade is likely a roll up in strikes.

VMED – 2500 of the February 26 calls were bought for $0.55 in a multi exchange sweep.

Financials

BX  - 12,000 of the January 20 calls were bought for 1.05. It is an opening position.

Healthcare

NVS – 6000 of the April 52.5 / 57.5 strangle was sold at $2.00

AVNR – 4200 of the September 4 calls were sold at $0.65.


*Special thanks to Flotilla Partners, Option Radar, BMO Capital, LiveVolPro, CBOE, Option Monster, Shaefers, and all of the options desks and traders we work with to provide the option flow!