There are a host of reasons for each and every trade. The other side of the trade needed to own a chunk of stock to offset the trade(sell of the calls). I am assuming the customer was the buyer of the calls and sold a chunk of their long. Very tough to tell the reason for the trade. I imagine we will see significant news by July.
Other than this trade, it has been extremely boring and very difficult to make money unless you can time the index.
Yui, I still wonder who sold all those Aug and Sept calls last year in the 0.09-24 cent areas, That must have been a disaster for the seller.
I wondered why the stock dropped after a nice recovery this morning. this post explains it. embellishing and amplifying this outliar cr*p requires a brand of numb skull much like Haley's Comet.. and it only comes around once every 80 years or so. behold this. it is truly historic. but alas, it is just a reflection off this frozen ice ball of a knoggin speeding through the solar system reflecting fairy tale sunshine. shorts see this thesis and thank gawd they're alive to witness this grasping at flaws. old women just cry. keep it up mapper. you'll get this down to $6 yet.
4430 = $0.39 and you will not see one dime $revenue$ from this in the next 24 months or more. So.. more volatility.
Trading that breaks a logical pattern. I'm talking stock, not options, but options will be a part of the play once anything is lined up to occur. As Prop said, the options trade appears delta neutral. I am not an options guy, but I would expect nothing less you attract attention.
When you get a stock like this one, that becomes heavy institutional, large sell blocks are rapidly avoided in favor of buying .... patiently cheaper as MMs handle the stock. 100, 45, 2, 100, 12, 65, 100, 100, 36, 100 in the direction of the index at that time etc. When all the .... players understand the game, buys that occur in rapid blocks on tape but not enough to move the market, they look unprofessional in this environment. When they are repeated, you wonder why. Could be that they are prearranged between two parties and then executed, that we don't know but again, most of that occurs dark.
So Yui, Yousee; please explain your take in plain talk on this kind of activity for those of us uninitiated in the why's and wherefor's of this kind of trading.
I see the 200,000 share trade that went through at 11:24pm go off at 8.45, which was below the Bid (11:23pm a trade went through for 8.61, and then the big trade, and then another at 8.57 1 minute after the big trade). Also, this trade was completely filtered from the intraday chart, though I see it reflected in the daily volume. The listed exchange for the trade was CHXE (Chicago Stock Exchange). This doesn't appear to be an off exchange trade. Other off exchange trades that we've seen go through (remember the couple 100,000 share blocks a few weeks ago?) showed up in the intraday volume, but again, this one didn't.
The 3,500 Jul $9 Calls @ 2.15 (the Ask) to open went off 2 minutes before the 200,000 share trade.
Possibility of viral evolution
Allison McGeer, MD, a microbiologist and infectious diseases consultant at Mt. Sinai Hospital in Toronto, agrees that there is too little information to do more than speculate for now, but she sees some signs that suggest the possibility that the virus is changing. She was part of a team that traveled to Saudi Arabia last year and advised the government about its response to MERS-CoV.
In an interview, McGeer, who led efforts to stop the SARS (severe acute respiratory syndrome) coronavirus outbreak in Toronto in 2003, compared the Jeddah outbreak with the outbreak in Al-Ahsa (also written Al-Hasa) in eastern Saudi Arabia a year ago. That one involved 23 confirmed and 11 probable cases in several hospitals, according to a June 2013 report in the New England Journal of Medicine (NEJM).
McGeer said that although information is lacking, the Jeddah outbreak "seems like a multi-institutional, really complicated outbreak. . . . It's clear that there are a substantial number of healthcare workers involved."
But the two outbreaks, she said, seem to differ in at least one way: "Compared to last year, the attack rate in healthcare workers appears to be higher, and I don't think that that is related to more testing. One of the striking things about the Al-Hasa outbreak was that the attack rate in healthcare workers was relatively low compared to the rate in patients.
"This ratio of healthcare workers to patients looks different now, and that raises the issue of whether the virus is changing," she added. "To me that's the critical issue that needs to be answered."
There has been sporadic positive buying throughout the last two weeks that I was watching closely. Quite frankly, I am surprised that no 13 series has been filed this week, but then the stock could be being parked in different locations until one big buy can be engineered at the proper time.
Sold my GILD today to take advantage of this plunge. A fool and his money ..................................
Nice volume huh? :)