Market Overview
U.S. stocks ended a shade higher on Tuesday (June 4) following softer-than-expected labor market data that reaffirmed expectations of an interest rate cut by the Federal Reserve.
Regarding the options market, a total volume of 34,359,720 contracts was traded, down 9% from the previous trading day.
Top 10 Option Volumes
Top 10: $TSLA(TSLA)$, $NVDA(NVDA)$, $AAPL(AAPL)$, $AMD(AMD)$, $GME(GME)$, $PLTR(PLTR)$, $MARA(MARA)$, $AMZN(AMZN)$, $CCL(CCL)$, $AMC(AMC)$
Source: Tiger Trade App
Massachusetts’ top securities regulator said it is looking at recent moves by Keith Gill, the investor known as Roaring Kitty, as the meme-stock rally paused after a spectacular Monday.
Shares of the videogames retailer $GameStop(GME)$ closed down 5.4% at $26.50, ending a three-day winning streak. At its lowest point Tuesday, it was down 10%.
There are 449.5K GameStop option contracts traded on Tuesday, down 51% from the previous trading day. Call options account for 66% of overall option trades. Particularly high volume was seen for the $30 strike call option expiring June 7, with 30,774 contracts trading. The next is the $128 strike call option expiring June 7, with 24,763 contracts trading. GME 20240607 30.0 CALL GME 20240607 128.0 CALL
Source: Market Chameleon
$Nvidia(NVDA)$ stock rose to an all-time high on Tuesday as a key Apple supplier indicated strong demand for its Blackwell chip.
Meanwhile, a 10-for-1 stock split will become effective Friday. The company also said it planned to roll out its most advanced artificial intelligence platform in 2026. The AI chip leader will also use next generation memory to improve process time.
There are 1.05 million Nvidia option contracts traded on Tuesday, down 15% from the previous trading day. Call options account for 58% of overall option trades. Particularly high volume was seen for the $1200 strike call option expiring June 7, with 58,791 contracts trading. NVDA 20240607 1200.0 CALL
Unusual Options Activity
Source: Market Chameleon
$Carnival(CCL)$ shares popped about 5.8% on Tuesday after the cruise company announced it will fold P&O Cruises Australia into Carnival Cruise Line. The company said it was the latest in a series of strategic moves aimed to increase capacity for its flagship brand.
There are 261.8K Carnival option contracts traded on Tuesday, up 115% from the previous trading day. Call options account for 77% of overall option trades. Particularly high volume was seen for the $17 strike call option expiring June 7, with 52,673 contracts trading. CCL 20240607 17.0 CALL
$CrowdStrike(CRWD)$ forecast second-quarter revenue above market estimates on Tuesday, helped by strong demand for its cybersecurity offerings in the wake of growing online challenges spurred by the use of artificial intelligence (AI). Shares of the Austin, Texas-based company rose nearly 7% after the bell.
Traders seem to have made incorrect bets before CrowdStrike’s earnings. There are 194.9K CrowdStrike option contracts traded on Tuesday, up 202% from the previous trading day. Put options account for 53% of overall option trades. Particularly high volume was seen for the $250 strike put option expiring June 7, with 6,571 contracts trading. CRWD 20240607 250.0 PUT
TOP Bullish & Bearish Single Stocks
This report shows stocks with the highest volume of bullish and bearish activity by option delta volume, which converts option volume to an equivalent stock volume (bought or sold).
If we take the total positive option delta volume and subtract the total negative option delta volume, we will get the net imbalance. If the net imbalance is positive, there is more bullish pressure. If the net is negative, there is more bearish pressure.
Based on option delta volume, traders sold a net equivalent of -2,458,580 shares of Apple stock. The largest bearish delta came from selling calls. The largest delta volume came from the 07-Jun-24 195 Call, with traders getting short 2,495,605 deltas on the single option contract. AAPL 20240607 195.0 CALL
Top 10 bullish stocks: $NVDA(NVDA)$, $MARA(MARA)$, $VALE(VALE)$, $PLTR(PLTR)$, $WULF(WULF)$, $COIN(COIN)$, $CORZ(CORZ)$, $CVE(CVE)$, $LU(LU)$, $PTEN(PTEN)$
Source: Market Chameleon
Top 10 bearish stocks: $AAPL(AAPL)$, $TSLA(TSLA)$, $PFE(PFE)$, $GOLD(GOLD)$, $DJT(DJT)$, $SOFI(SOFI)$, $AMZN(AMZN)$, $PAAS(PAAS)$, $FCX(FCX)$; $INTC(INTC)$
Source: Market Chameleon
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