Does anyone see the option activity??? It is sending a message. Today alone, 1000 contracts of July 57.50s; 2300 contracts for July 60s; 500 contracts for Sept 70s, and 3900 contracts for December 90s. People are laying out big money for these contracts and it is my hunch that they are much smarter than you, me and the bashers on this site.
And--huge open interest in September 70s and 85s and December 70s, 80s and 90s. These are not just gamblers taking a shot to make a home-run. Open interest of this magnitude is telling us something.
Watch for one big breakout day....either on Alibaba news or the markets realizing that this thing is gaining traction.
I am only stating the facts and do not profess to be the smartest investor. But this is quite an oddity that there is so much option activity suddenly in out of the money calls. I have been writing calls against my position since the Alibaba announcement and do quite well because I keep the premium when they expire and the stock just remains with me. I am now on my fourth round of these since May and it is found money. One day I will make my big profit if it pops and the options get exercised. I only wish it would happen, but as I wait, I keep bringing in the premium.