U.S. stocks kicked off the trading week on Monday with a rally after Britain reversed course on an economic plan, while Bank of America was the latest financial company to post solid quarterly results, which lifted optimism about the corporate earnings season.
The Dow Jones Industrial Average rose 550.99 points, or 1.86%, to 30,185.82, the S&P 500 gained 94.88 points, or 2.65%, to 3,677.95 and the Nasdaq Composite added 354.41 points, or 3.43%, to 10,675.80.
Options Broad View
A total volume of 33,144,453 contracts were traded on Monday, down 18.57% from the previous day. Call options account for53% of total options trades.
There are 8.1 million SPDR S&P 500 ETF Trust options traded on Monday. Call options account for 41% in overall option trades. Particularly high volume was seen for the $366 strike put option expiring October 17, with 368,096 contracts trading on Monday.
Top 10 Option Volumes
Top 10: SPY, QQQ, TSLA, AAPL, AMZN, IWM, VIX, HYG, TQQQ, BAC
Options related to equity index ETFs are still top choices for investors, with2.49 million Invesco QQQ Trust options contracts trading on Monday. Call options account for 45% in overall option trades. Total trading volume for SPDR S&P 500 ETF Trust and Invesco QQQ Trust slid 20.04% and 21.45%, respectively, from the previous day.
Nasdaq100 Bull 3X ETF rose 9.85% on Monday as major mega-cap growth stocks like Apple, Meta Platforms, Amazon and Tesla all rallied.
There are 454,100 option contracts traded on Monday, down 39.51% from the previous day. Call options account for 66% in overall option trades. Particularly high volume was seen for the $20 strike call option expiring October 21, with 37,787 contracts trading on Monday.
Roblox Corporation surged 19.83% on Monday as its bookings are expected to be between $212 million and $219 million, up as much as 15% from a year earlier. Its daily active users jumped 23% in September to reach 57.8 million and hours engaged rose 16% to 4 billion in the same period.
There are 327,500 option contracts traded on Monday. Call options account for 57% in overall option trades. Particularly high volume was seen for the $45 strike call option expiring October 21, with 35,051 contracts trading on Monday.
Bank of America jumped 6.06% on Monday after it reported better-than-expected Q3 earnings. It reported an EPS of $0.81 on revenue of $24.50 billion to top the analyst estimate of $0.78 on revenue of $23.56 billion. Trading revenue excluding DVA rose 13% to $4.1 billion to beat the consensus of $3.91 billion. Overall, revenue rose 8%.
There are 421,000 option contracts traded on Monday. Call options account for 66% in overall option trades. Particularly high volume was seen for the $34 strike call option expiring October 21, with 27,670 contracts trading on Monday.
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.
Top 10 bullish stocks: SPY, EEM, XLF, RIG, AMZN, NVDA, PBR, BAC, TSLA, HUT
Top 10 bearish stocks: HYG, PLTR, IWM, NKLA, ERIC, FXI, PTON, SLV, QQQ, LFG
