As of today the top ten most active stock option contracts traded were:

  1. S&P 500 SPDR (SPY) November 110 Call Options
  2. Sprint (S) January 4 Call Options
  3. Sprint January 3 Put Options
  4. S&P 500 SPDR November 109 Put Options
  5. SPDR Homebuilders (XHB) December 16 Call Options
  6. S&P 500 SPDR November 109 Call Options
  7. Bank of America (BAC) November 16 Call Options
  8. S&P 500 SPDR November 108 Put Options
  9. S&P 500 SPDR November 110 Put Options
  10. S&P 500 SPDR November 108 Call Options

It looks like one strategist is betting that Sprint (S) will move in a big way by January expiration. This strangle is factoring in a 26% move lower from today’s close or a 41% move higher just to break even. Other than that, there wasn’t anything too unusual with today’s most active options. I closed my put spreads on (PCLN) for a hefty one day gain and closed half of my December 220 call options around noon for an even bigger gain. As stated last night I noticed Rackspace (RAX) was selling off on their earnings release, however it had a very good day especially at market open. RAX finished the day higher by 48 cents a share to 18.80 but set a new 52-week high on huge volume to 19.67 near open before falling down to the upper 18’s on much lighter volume. American Express has just been on fire lately, and I decided to take some profits today not by selling the stock but by selling the November 41 call options against my shares. I am assuming volume will be lighter tomorrow and we may see volatility sell off on many shares, which is why I will be looking to close several short option positions if profitable. Happy trading!