*Scanning all single-stocks subject to 2500 contracts minimum call or put volume

Theravance (THRX) notched a new 52-week high and is up $1.65 to $24.50 on news Glaxo has lifted its stake in the biotech to 19 percent. The move signals “confidence in a key new respiratory drug being developed with the company”, Reuters. THRX is rallying on the news and one player pays $2.55 for Dec 22.5 calls, 1475X. 2375 calls and 105 puts now traded in THRX, or 15X typical volume. Implied volatility is up 25 percent to 55.

*Scanning all single-stocks subject to 2500 contracts minimum call or put volume

Sprint (S) loses 3 cents to $3.90 and 13,680 Dec 4 calls have changed hands. The top trade is 3000 at 17 cents on ISE and an opening customer buyer, according to ISEE data. 10000 Sprint calls have been bought-to-open so far on ISE. Implied volatility is up 12 percent to 56. Sprint shares fell nearly 10 percent on disappointing earnings on 10/27 and are down an additional 9.3 percent since that time.

CBOE Volatility Index (.VIX) is up .98 to 23.20 and moving beyond its 11/16 one-month high and to its best levels since 10/4. A noteworthy options trade in VIX Friday was a Jan 27.5 – 35 (1X2) call ratio backspread, apparently sold at even, 19535X just before the close. Open interest suggest a new position was opened and these two options are currently the largest positions in VIX options. The 35s have the most OI, now approaching 260,000.

*Scanning all single-stocks subject to 2500 contracts minimum call or put volume

*Scanning all single-stocks subject to 2500 contracts minimum call or put volume

Usually the ex-div trading doesnt start until the afternoon, but today’s short session has motivated some traders that engage in the strategy to get going early. More than half a million Coke calls have traded in the first hour, all in the Jan 47.5 to 60 strikes and likely a safe distance in-the-money from $64.31 current spot level. Coke nearly hit one million calls on Sep 10, the prior ex-div date, and traders are likely hoping the timing of Mondays ex-div will work in their favor, as some long call holders away for the holiday forget to call in their exercise instructions. (MCD, LO, GR, WM also seeing ex-div trades.)