Today, we saw Paper bought 5,000 LXK Jan 2014 30 Calls for $1.85 (3.7 times usual volume).

My Trade: Buy LXK Jan 2014 30 Calls for $1.85
Risk: $185 per 1 lot
Reward: Theoretically unlimited
Breakeven: $31.85

Greeks of this Trade:
Delta: Long
Gamma: Long
Vega: Long
Theta: Short

Paper bought 800 HERO April 6 Puts for $.10 when stock was trading $6.67
Paper bought 20,000 AMLP May 17 Puts for $.45 (18.4 times usual volume) when stock was trading $17.48
Paper bought 3409 AVGO May 32.5 Puts for $.70 (8.3 times usual volume) when stock was trading $34.27
Paper bought 700 RFMD May 5 Puts for $.35 (6.8 times usual volume) when stock was trading $5.11
Paper bought 1500 EQR Oct 55 Puts for $2.55 when stock was trading $56.75

Paper bought 5000 LXK Jan 2014 30 Calls for $1.85 (3.7 times usual volume) when stock was trading $26.41
Paper bought 1000 HW May 7 Calls for 2.95 (2.7 times usual volume) when stock was trading $9.85
Paper bought 2025 SA Jan 2014 13 Calls for $1.95 (6.8 times usual volume) when stock was trading $12.70
Paper bought 20,000 EWJ Jan 2014 13 Calls for $.11 when stock was trading $10.88
Paper bought 400 TASR Sep 10 Calls for $.25 (3.9 times usual volume) when stock was trading $7.31

Paper bought 2000 HUN May 19 Calls for $.80 (4.7 times usual volume) when stock was trading $18.23
Paper bought 5000 TLT Weekly 119 Calls for $.91 when stock was trading $119.57
Paper bought 2000 WFC 4.12.2013 Weekly 37 Calls for $.50 (when stock was trading $36.93
Paper bought 18,000 PCS June 12-14 Call Spread for $.41 (2.6 times usual volume) when stock was trading $11.12
Paper bought 1575 MBI May 13 Calls for $.40 when stock was trading $10.19

I watch 2,000 trades in a day and today paper bought 1435 KRE May 32
Calls for $.28.  Paper is just an order from a hedge fund, mutual
fund, retail bank, or big trader.
So, my trade is buying the KRE May 31 Calls for $.66

Trade:  Buying the KRE May 31 Calls for $.66
Risk: $66 per 1 lot
Reward: Unlimited
Breakeven: $31.66

Greeks of the Trade:
Delta: Long
Gamma: Long
Theta: Short
Vega: Long

—
Andrew Keene
President/Founder
Andrew@KeeneOnTheMarket.com

Economists are skeptical of the near term success of Prime Minister Abe and the Central Bank of Japan’s plan to turn around Japan’s economic growth. The bank  has already been implementing a stimulus program buying bonds since January and with downward pressure on Japanese wages could make their 2% inflation target an up-hill battle.

—
Brandon Carnovale
Guest Contributor
carnovab@my.canisius.edu