EBAY adds 62 cents to $31.17 and is on a three-day 10.8 percent run higher. Some investors apparently see the strength as an opportunity to write April 35 calls on the stock. The top trade is a 4,453-contract block at $2.35 on ISE and an opening seller, according to data from the exchange. 18,321 now traded against 592 in open interest. The contract is 12.2 percent OTM with a .42 delta. A total of 30,000 calls and 5,900 puts traded on Ebay so far today. Oct 32, Oct 33, Jan 31, and April 41 calls are seeing interst as well. Implied vols are down about 5 percent to 52.

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

Nuance (NUAN) adds 98 cents to $21.10 and today’s options volume is 4.5X the average daily. 9,180 calls and 345 puts traded on the Burlington, MA app software maker. Oct 22 calls, which are 4.3 percent OTM and expiring in 15 days, are the most actives. 3,730 traded (60 percent Ask) against 2,642 in open interest. Another 3,500 Oct 21 calls changed hands (73 percent Ask) against 3,897 in open interest. The flow seems to include some opening and closing activity, but overall sentiment seems bullish, as the stock rallies 35.4 percent off Aug 8 lows and now tests a previous support/resistance level near $21.25. Shares moved up Tuesday on news iPhone 4s will offer dictation to support multiple languages. Nuance is the voice to text software provider.

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

MBIA shares have added 37 cents to $8.25 and overall options volume is running 3.5X the daily average for the mortgage insurance company, with about 15,000 calls and 2,400 puts traded in MBI so far. October 9 calls, which are now 9.1 percent OTM and expiring in 15 days, are the most ctives, 5,188 traded (66 percent Ask) against 2,597 in open interest. Oct 8, Oct 10, Nov 8 and Nov $11 calls are seeing interest as well. Implied volatility in options on the stock is up 9 percent and elevated at 113. Bullish flow in MBI and higher vols are probably related to a court decision and possible settlement payment in a court case. Lawyers from MBIA and BofA Countrywide gathered yesterday to argue causation and liability claims in a mortgage case before NY Supreme Court Justice Bransten.

Gaming stocks seeing heavy option volume this morning with many names up sharply. Las Vegas Sands leads in volume, with 24K calls trading, nearly 3x the number of puts. Weekly 41 strike calls that expire tomorrow are most active, and one large spread traded in which a cust bought 3000 Oct 40c to sell 2000 oct 36 calls. Yesterday a customer bought 4000 Jan 46c for 2.77 on the ISE to open a new position that is up nearly $400K in value today.