Shares of ticket selling companyLive Nation Entertainment (LYV) spiked higher following the vaccine rollout, pulled back, and have now moved back to their old highs. One trader sees shares breaking through to new highs in the second half of the year. That’s based on the January 2022 $95 calls. With over six months until expiration, 5,326 contracts traded against a prior open interest of 161, for a 33-fold rise in volume. The buyer of the option paid about $8.60 to make the trade. With shares just over $90, they’d need a modest $5 rise to move in-the-money. As a pandemic rebound pl...

Shares of movie theater chainAMC Entertainment Company (AMC) are leading a new potential retail short squeeze higher. Naturally, that’s caused some traders to expect the company to crater down in the coming days, weeks or months. With a number of put options on the company leading unusual option activity by volume, the August $18 puts are the most interesting for a potential post-squeeze drop. With 81 days until expiration, over 12,740 contracts traded compared to a prior open interest of 161, for a 79-fold rise in volume. The buyer of the put option paid about $4.57 to do so. The...

Shares of cable and entertainment giantComcast (CMCSA) have been trading in a range in recent weeks. One trader sees a return to the high end of that range in the days ahead. That’s based on the June $59 calls. Expiring in 21 days, over 31,800 contracts traded, a 163-fold increase in volume from the prior open interest of 194 contracts. The buyer of the calls paid about $0.42 to make the trade. Shares of Comcast trade near $57, so the shares would need to rise about 5 percent for the trade to move in-the-money at expiration. A price of $59 would also put the company back at its all-t...

The automotive industry had a strong year in 2020, but automotive stocks have had a rougher time in 2021 as a semiconductor shortage has shut down production for many carmakers. One trader sees the potential for a drop inGeneral Motors (GM) in the coming weeks. That’s based on the July $57.50 puts. With 50 days until expiration, over 25,132 contracts traded against an open interest of 256, for a 98-fold rise in volume. The options are slightly in-the-money based on a current price just under $57 per share. The buyer o the put options paid about $3.05. GM shares started the year of...

Fuel cell energy companyBallard Power Systems (BLDP) saw shares rally to a speculative high back in February over $40, only to slide lower. One trader sees the potential for an even further drop in shares, despite a rally in recent sessions. That’s based on the June 18 $13 puts. With 23 days left to trade, over 46,524 contracts traded against a prior open interest of 104, for a staggering 447-fold rise in volume. The buyer of the puts paid about $0.10 for each contract. With shares around $16, the option will move in-the-money on another 20 percent decline in shares. Even with the...

Shares of home improvement retailer theHome Depot (HD) dropped last week despite a great earnings report. At least one trader sees the selloff as related to last week’s market weakness, with shares likely to bounce higher. That’s based on the June $320 calls. Over 1,032 contracts traded against a prior open interest of 101, for a 10-fold rise in volume. The option expires in one month, and the buyer of the option paid about $5.75 for the trade. With shares just under $320, the option could likely move in-the-money in the coming sessions, leading to a further increase in price. The...

The recent selloff in tech has caused a number of big-name companies benefitting from the semiconductor shortage to decline. One such name isAdvanced Micro Devices (AMD). At least one trader sees room for a rally ahead. That’s based on the March 2022 $77.50 calls. With 298 days until expiration, over 13,300 contracts traded, a 60-fold rise in volume from the prior open interest of 222. The buyer of the calls paid about $11.40 for the option. With shares around $78, the option is an at-the-money trade. It should rise in value along with the price of shares. AMD has traded as high as $...

Electric car manufacturerTesla Motors (TSLA) has been out of favor with the markets in recent weeks. At least one trader sees further short-term weakness. That’s based on a number of unusual options trades. The June 11 $480 put is one such trade. Over 3,580 contracts traded from a prior open interest of 180, for a 20-fold rise in volume. The buyer of the option, which expires in 21 days, paid about $7.95 for the contract. With shares around $565, shares would need to drop another 15 percent in under a month for the trade to move in-the-money. Shares of Tesla are at a six-month low...

Utility giantNext Era Energy (NEE) has seen shares slide to a price point where it’s bounced higher on previous occasions the past few months. One trader sees that happening again. That’s based on the August $75 calls. With 92 days until expiration, over 6,020 contracts traded from a prior open interest of 178, for a 34-fold rise in volume. The buyer of the options paid about $2.15 to make the trade. With shares down near $72.50, the option is just slightly out-of-the-money. However, prior declines to the low $70 range have led to a bounce higher, either to the mid-$70 or low $80 poi...

Cannabis stocks exploded higher at the start of the year and have now given up their gains.Tilray (TLRY), for instance, started the year under $10, spiked to $60, and has now lost most of its value to trade at $15. One trader sees a rebound ahead. Over 2,970 contracts traded on the August $30 calls, a 21-fold rise in volume from the prior open interest of 141. The buyer paid about $0.58 for the options, which will require shares to about double for them to move in-the-money. It’s not out of the realm of possibility. The past few weeks have seen a surge in state looking to legalize...