To The Moon

Wall Street's main indexes ended Monday (November 21) roughly down. The S&P 500 lost 0.39% to 3,949.94 and the Nasdaq Composite dropped 1.09% to 11,024.51.

Trading volume was low on Monday, and likely to lessen towards the Thanksgiving holiday on Thursday, leaving markets more prone to volatility.

Regarding the options market, a total volume of 34,737,932 contracts was traded, down 15% from the previous trading day.

Top 10 Option Volumes

Top 10: SPY, TSLA, QQQ, PBR, AMZN, AAPL, DIS, TQQQ, IWM, NVDA

Options related to equity index ETFs are popular with investors, with 6.34 million $SPDR S&P500 ETF Trust(SPY)$ and 2.06 million $Invest QQQ Trust ETF(QQQ)$ options contracts trading on Monday. 55% of SPY trades bet on bearish options.

Source: Tiger Trade App

There were 295,931 million $Disney(DIS)$ options traded on Monday. Call options account for 55% of overall option trades. Particularly high volume was seen for the $100 strike call option expiring November 25, with 42,118 contracts traded on Monday.

Former $Walt Disney Co (DIS)$ Chief Executive Bob Iger is returning to the media company as CEO, the company's board said in a statement on Sunday. Shares of Disney jumped 6.3% to $97.58 on Monday.

"The Board has concluded that as Disney embarks on an increasingly complex period of industry transformation, Bob Iger is uniquely situated to lead the Company through this pivotal period," Susan Arnold, chair of Disney's board, said in a statement.

$Tesla(TSLA)$ stock is moving down 6.84% to $167.87 on Monday after announcing another vehicle recall and this time it has to do with the taillights for the company’s electric vehicles. Total trading volume for TSLA reached 2.38 million, of which 57% were call options.Source: Tiger Trade App

This recall specifically affects the company’s Model 3 and Model Y vehicles with model years ranging from 2020 to 2023. The problem has to do with the taillights of the EVs sometimes failing to light up.

Fortunately for $TSLA(TSLA)$ stock investors, this isn’t a major problem. It’s another case of a software issue. That means Tesla can fix the vehicles just by sending out an over-the-air update, which prevents owners from having to bring their cars in for repairs.

It’s worth noting that this recall affects more than 321,000 vehicles. It’s also the company’s 19th recall so far for 2022. However, the majority of these recalls are taken care of with software updates.

Unusual Options Activity

Source: Market Chameleon

There were 1,795, 528 $Petrobras(PBR)$ options trading on Monday. Call options account for 97% of overall option trades. Particularly high volume was seen for the $6 strike call option expiring December 16, with 194,009 contracts trading on Monday.

Source: Market Chameleon

Brazil's biodiesel blending requirement, which determines how much biodiesel has to be mixed into diesel, is currently at 10%.

Brazil's National Energy Policy Council (CNPE) decided the mandatory blend of biodiesel in diesel will be kept at 10% until Mar. 31, 2023, the Mines and Energy Ministry said on Monday.

From April on, the mix requirement will be increased to 15%, the ministry said in a statement, pointing out that Brazil's next government which takes office in January could change the decision.

CNPE also decided that biodiesel produced by "any technological route of production" may be part of the mixture, which could include $Petrobras(PBR)$' R5 diesel, a fuel co-processed with vegetable oil in a 95%-5% ratio.

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: SKIN, VRM, AMC, SNAP, MULN, RIG, AREC,CDE, PLUG, GEO

Top 10 bearish stocks: PBR, TSLA, AMZN, AAPL, MMAT, KO, F, T, NKLA, GOOGL

Source: Market ChameleonIf you are interested in options and you want to:

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