option volume spiked to 8x normal levels as one large buyer Jan09 12.5 calls payed $1.65 20,000x on the PHLX. Looks to be adding to large existing long upside call positions in IVN- todays trade will most likely push total call OI over 100,000 contracts vs put OI of below 7000. Majority of open interest has been created by long-call buyers and stock has been mentioned as a potential target. IVN is up more than 3.5% to 10.27 today, but well off $13 highs seen earlier this year.
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Henry Schwartz is the president of Trade Alert LLC, a provider of real-time options analysis tools to leading Wall Street firms. His systems analyze hundreds of thousands of transactions per second to help professionals identify and interpret market activity in real time, supporting informed trading decisions and intelligent idea generation. He has held institutional trading and management roles with Bank of America, Bear Stearns, Salomon Brothers and the Hull Group, and made markets on the CBOE and AMEX floors in the US, and EUREX and MONEP overseas. Prior to founding Trade Alert, he led the electronic market-making group at Bank of America coincident with the launch of the International Securities Exchange. He received his bachelor’s degree in Economics from the University of California, San Diego and his MBA from NYU’s Stern School of Business.