Fri, Sep 19, 2014, 7:29 PM EDT - U.S. Markets closed

Recent

% | $
Quotes you view appear here for quick access.

Broadridge Financial Solutions, Inc. Message Board

  • dontdropyourlunch dontdropyourlunch Jun 15, 2000 2:02 PM Flag

    it's the options

    the price action in br is related to the options
    expiration. i picked up some more br today below 40. isn't it
    interesting that br dumped until it just got to steady state
    below 40. someone on the rdc board noted this brewing
    option issue yesterday when suddenly about 4000 june 30
    calls traded. today only about 20 traded so far.
    interesting that rdc is trading just below 30 today. the same
    thing is going on in apa, apc, br, tdw, etc. once the
    options guys do their thing in this short term, the
    stocks will move again with less manipulation.

    SortNewest  |  Oldest  |  Most Replied Expand all replies
    • little more detail how the options are causing
      this? I never trade options, and I would really like to
      understand your point. Are the options traders able to lower
      the price by selling enough to make sure that lots of
      their $40 calls don't get exercised? I.e., it costs
      them less to manipulate the price of the stock than it
      would cost them to be served the calls? If so, isn't
      this an extremely bullish sign?

      Thanks in
      advance for taking the time, and forgive my
      naivete:

      You wrote:
      the price action in br is related to
      the options expiration. i picked up some more br
      today below 40. isn't it interesting that br dumped
      until it just got to steady state below 40. someone on
      the rdc board noted this brewing option issue
      yesterday when suddenly about 4000 june 30 calls traded.
      today only about 20 traded so far. interesting that rdc
      is trading just below 30 today. the same thing is
      going on in apa, apc, br, tdw, etc. once the options
      guys do their thing in this short term, the stocks
      will move again with less manipulation.

      • 1 Reply to kdd_999
      • Dontdrop is right in that when there are a lot of
        options on one side of the market the fund managers are
        quite capable of buying or selling enough to keep the
        options they sold from being exercised.
        But I went
        to CBOE.com and checked and it shows 1207 calls out
        at 40 and 42.5, while there are 1802 puts out for
        the same prices. The sellers of the calls would like
        to see the price remain below 40, while the sellers
        of the put would like to see it above 42.5. Looks
        like a push to me. Of course for a really accurate
        analysis one would have to know the prices at which the
        options were sold.

    • This really sucks, management makes more money and lower end of the food chain gets the shaft.

 
BR
42.39-0.29(-0.68%)Sep 19 4:03 PMEDT

Trending Tickers

i
Trending Tickers features significant U.S. stocks showing the most dramatic increase in user interest in Yahoo Finance in the previous hour over historic norms. The list is limited to those equities which trade at least 100,000 shares on an average day and have a market cap of more than $300 million.